Notes to Accounts of PVP Ventures Ltd.

Mar 31, 2025

2.12 Provisions

Provisions are recognised, when the Company has a
present obligation (legal or constructive) as a result of
a past event, it is probable that an outflow of resources
embodying economic benefits will be required to settle
the obligation and a reliable estimate can be made of the
amount of the obligation.

The amount recognised as a provision is the best estimate
of the consideration required to settle the present
obligation at the end of the reporting period, taking
into account the risks and uncertainties surrounding
the obligation. When a provision is measured using the
cash flows estimated to settle the present obligation, its
carrying amount is the present value of those cash flows
(when the effect of the time value of money is material).

2.13 Contingent liability and Contingent asset

(a) Contingent liability is disclosed for

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

(ii) Present obligations arising from past events
where it is not probable that an outflow of
resources embodying economic benefits will
be required to settle the obligation or a reliable
estimate of the amount of the obligation cannot
be made. When some or all of the economic
benefits required to settle a provision are
expected to be recovered from a third party,
a receivable is recognised as an asset if it is
virtually certain that reimbursement will be
received and the amount of the receivable can
be measured reliably.

(b) Contingent assets are neither recognised nor
disclosed in the financial statements. However,
contingent assets are assessed continually and
if it is virtually certain that an inflow of economic
benefits will arise, the asset and related income are
recognised in the period in which the change occurs.

2.14 Taxes on Income

The income tax expense represents the sum of the tax

currently payable and net change in deferred tax.

(a) Current tax

Income tax expense or credit for the period is the tax
payable on the current period''s taxable income using
the tax rates and tax laws that have been enacted
or substantively enacted by the Balance Sheet date.
The Company periodically evaluates positions taken
in tax returns with respect to situations in which
applicable tax regulation is subject to interpretation.
It establishes provisions where appropriate on
the basis of amounts expected to be paid to the
tax authorities.

The Company recognizes Prior period tax
expenses as a part of Current tax expenses for
the permanent differences between provisional
tax computation prepared as per previous Audited
financial statements and the actual tax expense as
per the Income tax return filed subsequently, for that
financial year.

Current tax assets and current tax 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.

(b) Deferred tax

Deferred tax is the tax expected to be payable or
recoverable on differences between the carrying
amounts of assets and liabilities in the Standalone
Financial Statements and the corresponding tax
bases used in the computation of taxable profit, and
is accounted for using the liability method. Deferred
tax liabilities are generally recognised for all taxable
temporary differences and deferred tax assets
are recognised to the extent that it is probable
that taxable profits will be available against which
deductible temporary differences can be utilised.
Such assets and liabilities are not recognised if
the temporary difference arises from the initial
recognition (other than in a business combination)
of other assets and liabilities in a transaction that
affects neither the taxable profit nor the accounting

profit. In addition, a deferred tax liability is not
recognised if the temporary difference arises from
the initial recognition of goodwill.

Deferred tax liabilities are recognised for taxable
temporary differences except where the Company
is able to control the reversal of the temporary
difference and it is probable that the temporary
difference will not reverse in the foreseeable
future. Deferred tax assets arising from deductible
temporary differences associated with such
investment is only recognised to the extent that it is
probable that there will be sufficient taxable profits
against which to utilise the benefits of the temporary
differences and they are expected to reverse in the
foreseeable future. The carrying amount of deferred
tax assets is reviewed at each reporting date and
reduced to the extent that it is no longer probable
that sufficient taxable profits will be available to allow
all or part of the asset to be recovered.

Deferred tax is calculated at the tax rates that are
expected to apply in the period when the liability is
settled or the asset is realised based on tax laws
and rates that have been enacted or substantively
enacted at the reporting date.

The measurement of deferred tax liabilities and
assets reflects the tax consequences that would
follow from the manner in which the Company
expects, at the end of the reporting period, to recover
or settle the carrying amount of its assets and
liabilities. Deferred tax assets and liabilities are offset
when there is a legally enforceable right to set off
current tax assets against current tax liabilities and
when they relate to income taxes levied by the same
taxation authority and the Company intends to settle
its current tax assets and liabilities on a net basis.

For transactions and other events recognised in profit
or loss, any related tax effect is also recognised in
profit or loss. For transactions and events recognised
outside profit or loss (either in other comprehensive
income or directly in equity), any related tax effects
are also recognised outside profit or loss (either in
other comprehensive income (OCI) or directly in
equity, respectively).

(c) Current tax and deferred tax for the year

Current and deferred tax are recognised in
Statement of profit and loss, except when they
relate to items that are recognised in OCI or directly
in equity, in which case, the current and deferred tax
are also recognized in other comprehensive income
or directly in equity respectively. Where current tax

or deferred tax arises from the initial accounting for
a business combination, the tax effect is included in
the accounting for the business combination.

2.15 Financial Instruments

Financial assets and financial liabilities are recognized
when the Company becomes a party to the contractual
provisions of the instruments.

(a) Initial Recognition

Financial assets and financial liabilities are initially
measured at fair value. Transaction costs that are
directly attributable to the acquisition or issue of
financial assets and financial liabilities (other than
financial assets and financial liabilities at Fair Value
through Profit and Loss ("FVTPL")) are added to
or deducted from the fair value of the financial
assets or financial liabilities, as appropriate, on initial
recognition. Transaction costs directly attributable to
the acquisition of financial assets or financial liabilities
at fair value through profit and loss are recognized
immediately in the Statement of profit and loss.

(b) Subsequent measurement
(i) Financial Assets

All recognized financial assets are subsequently
measured in their entirety at either amortized
cost or fair value, depending on the classification
of the financial assets, except for investments
forming part of interest in subsidiaries, which
are measured at cost.

Classification of Financial Assets

The Company classifies its financial assets in
the following measurement categories:

a) those to be measured subsequently
at fair value (either through other
comprehensive income, or through
Statement of profit and loss), and

b) those measured at amortized cost

The classification depends on the entity''s
business model for managing the financial
assets and the contractual terms of
the cash flows.

Amortized Cost

Assets that are held for collection of contractual
cash flows where those cash flows represent
solely payments of principal and interest are
measured at amortized cost. A gain or loss on
these assets that is subsequently measured at

amortized cost is recognized in Statement of
profit and loss when the asset is derecognized
or impaired. Interest income from these
financial assets is included in finance income
using the effective interest rate method.

Fair Value through Other Comprehensive
Income ("FVTOCI")

Assets that are held for collection of
contractual cash flows and for selling the
financial assets, where the assets cash flows
represent solely payments of principal and
interest, are measured at FVTOCI. Movements
in the carrying amount are taken through OCI.
When the financial asset is derecognized, the
cumulative gain or loss previously recognized
in OCI is reclassified from equity to Statement
of profit and loss and recognized in other
income / (expense).

Fair Value through Profit and Loss ("FVTPL")

Assets that do not meet the criteria for
amortized cost or FVTOCI are measured at
FVTPL. A gain or loss on these assets that is
subsequently measured at FVTPL is recognized
in the Statement of profit and loss.

Impairment of Financial Assets

Expected Credit Loss (ECL) is the difference
between all contractual cash flows that are
due to the Company in accordance with the
contract and all the cash flows that the entity
expects to receive (i.e., all cash shortfalls).

In accordance with Ind AS 109, the Company
applies ECL model for measurement and
recognition of impairment loss on the financial
assets that are measured at amortised cost

e.g., cash and bank balances, investment in
equity instruments of subsidiary companies,
trade receivables and loans etc.

At each reporting date, the Company
assesses whether financial assets carried at
amortised cost is credit-impaired. A financial
asset is ''credit-impaired'' when one or more
events that have detrimental impact on the
estimated future cash flows of the financial
assets have occurred.

Evidence that the financial asset is credit-
impaired includes the following observable data:

- Significant financial difficulty of the
borrower or issuer;

- the breach of contract such as a default or
being past due as per the ageing brackets;

- it is probable that the borrower will
enter bankruptcy or other financial re¬
organisation; or

- the disappearance of active market for a
security because of financial difficulties.

The Company follows ''simplified approach'' for
recognition of impairment loss allowance on
Trade receivables. The application of simplified
approach does not require the Company
to track changes in credit risk. Rather, it
recognizes impairment loss allowance based
on lifetime ECLs at each reporting date, right
from its initial recognition.

For recognition of impairment loss on other
financial assets, the Company determines that
whether there has been a significant increase
in the credit risk since initial recognition. If credit
risk has not increased significantly, 12-month
ECL is used to provide for impairment loss.
However, if credit risk hasincreased significantly,
lifetime ECL is used. If, in subsequent period,
credit quality of the instrument improves such
that there is no longer a significant increase
in credit risk since initial recognition, then the
entity reverts to recognizing impairment loss
allowance based on 12-month ECL.

Lifetime ECL are the expected credit losses
resulting from all possible default events
over the expected life of a financial asset.
The 12-month ECL is a portion of the lifetime
ECL which results from default events that
are possible within 12 months after the
reporting date.

ECL impairment loss allowance (or reversal)
recognized during the period is recognized
as expense/income in the statement of profit
and loss. ECL for financial assets measured
as at amortized cost and contractual revenue
receivables is presented as an allowance, i.e.,
as an integral part of the measurement of those
assets in the Standalone Financial Statements.
The allowance reduces the net carrying

amount. Until the asset meets write-off criteria,
the Company does not reduce impairment
allowance from the gross carrying amount.

Write off policy

The Company writes off a financial asset
when there is information indicating that the
debtor is in severe financial difficulty and
there is no realistic prospect of recovery. Any
recoveries made are recognised in Statement
of profit and loss.

(ii) Financial Liabilities and Equity Instruments

Debt and Equity Instruments

Debt and equity instruments are classified
as either financial liabilities or as equity
in accordance with the substance of the
contractual arrangement. An equity instrument
is any contract that evidences a residual interest
in the assets of an entity after deducting all
of its liabilities. Equity instruments issued by
the Company are recorded at the proceeds
received, net of direct issue costs.

Classification as Equity or Financial Liability

Equity and Debt instruments issued by the
Company are classified as either financial liabilities
or as equity in accordance with the substance of
the contractual arrangements and the definitions
of a financial liability and an equity instrument.

All financial liabilities are subsequently
measured at amortized cost using the effective
interest method or at FVTPL.

Equity Instruments

An equity instrument is any contract that
evidences a residual interest in the assets of
an entity after deducting all of its liabilities.
Equity instruments issued by the Company are
recognized at the proceeds received, net of
direct issue costs.

Financial Liabilities at Amortized Cost

Financial liabilities that are not held-for-
trading and are not designated as at FVTPL
are measured at amortized cost at the end
of subsequent accounting periods. The
carrying amounts of financial liabilities that are
subsequently measured at amortized cost are
determined based on the effective interest

method. Interest expense that is not capitalized
as part of costs of an asset is included in the
''Finance costs'' line item.

Financial Liabilities at FVTPL

Liabilities that do not meet the criteria for
amortized cost are measured at fair value
through profit and loss. A gain or loss on these
assets that is subsequently measured at fair
value through profit and loss is recognized in
the Statement of profit and loss.

(c) Derecognition

(i) Derecognition of financial assets

A financial asset is derecognized only when the
Company has transferred the rights to receive
cash flows from the financial asset. Where the
Company has transferred an asset, it evaluates
whether it has transferred substantially all risks
and rewards of ownership of the financial asset.
Where the Company has neither transferred a
financial asset nor retains substantially all risks
and rewards of ownership of the financial asset,
the financial asset is derecognised if the Company
has not retained control of the financial asset.

If the Company enters into transactions
whereby it transfers assets recognised on
its Balance Sheet but retains either all or
substantially all of the risks and rewards of the
transferred assets, the transferred assets are
not derecognised.

(ii) Derecognition of financial liabilities

The Company derecognizes financial liabilities
when, and only when, the Company''s
obligations are discharged, cancelled or have
expired. The difference between the carrying
amount of the financial liability derecognized
and the consideration paid and payable is
recognized in Statement of profit and loss.

The Company also derecognises a financial
liability when its terms are modified and the
cash flows under the modified terms are
substantially different. In this case, a new
financial liability based on the modified terms
is recognised at fair value. The difference
between the carrying amount of the financial
liability extinguished and the new financial
liability with modified terms is recognised in
profit and loss.

(d) Offsetting

Financial assets and financial liabilities are offset
and the net amount presented in the Balance Sheet
when, and only when, the Company currently has a
legally enforceable right to set off the amounts and it
intends either to settle them on a net basis or to realise
the asset and settle the liability simultaneously.

(e) Measurement of fair values

A number of the accounting policies and disclosures
require measurement of fair values, for both financial
and non-financial assets and liabilities.

Fair values are categorised into different levels in a
fair value hierarchy based on the inputs used in the
valuation techniques as follows:

- Level 1: quoted prices (unadjusted) in active
markets for identical assets or liabilities.

- Level 2: inputs other than quoted prices
included in Level 1 that are observable for the
asset or liability, either directly (i.e. as prices) or
indirectly (i.e. derived from prices).

- Level 3: inputs for the asset or liability that
are not based on observable market data
(unobservable inputs).

The Company has an established internal control
framework with respect to the measurement of fair
values. This includes a finance team that has overall
responsibility for overseeing all significant fair value
measurements, including Level 3 fair values, and
reports directly to the Chief Financial Officer.

The finance team regularly reviews significant
unobservable inputs and valuation adjustments.
If third party information, is used to measure
fair values, then the finance team assesses
the evidence obtained from the third parties to
support the conclusion that these valuations meet
the requirements of Ind AS, including the level in
the fair value hierarchy in which the valuations
should be classified.

When measuring the fair value of an asset or a liability,
the Company uses observable market data as far as
possible. If the inputs used to measure the fair value
of an asset or a liability fall into different levels of the
fair value hierarchy, then the fair value measurement
is categorised in its entirety in the same level of the
fair value hierarchy as the lowest level input that is
significant to the entire measurement.

The Company recognizes transfers between levels
of the fair value hierarchy at the end of the reporting
period during which the change has occurred.

Further information about the assumptions made in
measuring fair values used in preparing these financial
statements is included in the respective notes.

2.16 Equity Investments in Subsidiaries

Investment in subsidiaries are carried at cost in the
Standalone Financial Statements in accordance with Ind
AS 27 Separate Financial Statements.

Deemed Investment

The Company''s loans/advances to subsidiaries , without
any contractual repayment terms , without charging
interest or obtaining security and as a measure of
support to finance/expand operationsof subsidiary
companies, are considered as "deemed investment" and
accounted at cost and presented along with Investments
in the Standalone Financial Statements. Accordingly
such deemed investments have been carried at cost in
accordance with the accounting policy of the Company
for Investment and not at amortised cost which is the
applicable accounting policy for loans

Impairment of Investments

At the end of each reporting period, the Company reviews
the carrying amounts of its investments to determine
whether there is any indication that such assets have
suffered an impairment loss. If any such indication exists,
the recoverable amount of the investment is estimated in
order to determine the extent of the impairment loss, if
any. The recoverable amount is determined as the higher
of an asset''s fair value less costs of disposal and its value
in use. In assessing value in use, the estimated future cash
flows are discounted to their present value using a pre-tax
discount rate that reflects current market assessments
of the time value of money and the risks specific to the
asset. In determining fair value less costs of disposal,
recent market transactions are taken into account; if
no such transactions can be identified, an appropriate
valuation model is used.

The Company uses judgement in making these
assumptions and selecting the inputs to the impairment
calculation, based on the Company''s past history, existing
market conditions, as well as forward-looking estimates
at the end of the reporting period.

If the recoverable amount of the investment is estimated
to be less than its carrying amount, the carrying amount
is reduced to its recoverable amount and the resulting

impairment loss is recognised immediately in the Statement
of Profit and Loss. For the investments for which an
impairment loss has been recognised in prior periods, the
Company reviews at each reporting date whether there
is any indication that the loss has decreased or no longer
exists. When an impairment loss subsequently reverses,
the carrying amount of the investments is increased to the
revised estimate of its recoverable amount, such that the
increased carrying amount does not exceed the carrying
amount that would have been determined had no impairment
loss been recognised. A reversal of an impairment loss is
recognised immediately in the Statement of Profit and Loss.

Similar assessment is carried for exposure of the nature
of loans thereon. The inputs to these models are taken
from observable markets where possible, but where is not
feasible, a degree of judgment is required in establishing fair
values. Judgments include consideration of inputs such as
expected earnings in future years, liquidity risk, credit risk
and volatility. Changes in assumptions about these factors
could affect the reported fair value of these investments.

2.17 Earnings Per Share (EPS)

Basic Earnings per Share is computed by dividing the net
profit / (loss) after tax (including the post tax effect of
exceptional items, if any) for the year attributable to equity
shareholders by the weighted average number of equity
shares outstanding during the year.

Diluted Earnings per Share is computed by dividing the
profit / (loss) after tax (including the post tax effect of
exceptional items, if any) for the year attributable to equity
shareholders as adjusted for dividend, interest and other
charges to expense or income (net of any attributable
taxes) relating to the dilutive potential equity shares, by
the weighted average number of equity shares considered
for deriving Basic EPS and also weighted average number
of equity shares that could have been issued upon
conversion of all dilutive potential equity shares.

2.18 Segment Reporting

Operating segments reflect the Company''s management
structure and the way the financial information is regularly
reviewed by the Company''s Chief Operating Decision
Maker (CODM). The CODM considers the business
from both business and product perspective based on
the dominant source, nature of risks and returns and
the internal organisation and management structure.
The operating segments are the segments for which
separate financial information is available and for which
operating profit / (loss) amounts are evaluated regularly
by the Executive Management 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 to the operating activities of the segment.

Inter-segment revenue, where applicable, is accounted on
the basis of transactions which are primarily determined
based on market / fair value factors.

Revenue, Expenses, Assets and Liabilities which relate
to the Company as a whole and are not allocable to
segments on reasonable basis have been included under
unallocated revenue / expenses / assets / liabilities.

2.19 Borrowing Cost

Borrowing costs directly attributable to the acquisition,
construction or production of qualifying assets, which are
assets that necessarily take a substantial period of time
to get ready for their intended use or sale, are added to
the cost of those assets, until such time as the assets are
substantially ready for their intended use or sale.

Interest income earned on the temporary investment
of specific borrowings pending their expenditure on
qualifying assets is deducted from the borrowing costs
eligible for capitalization.

All other borrowing costs are recognised in Statement of
profit and loss in the period in which they are incurred.

Borrowing costs includes interest, amortization of ancillary
costs incurred in connection with the arrangement of
borrowings and exchange differences arising from foreign
currency borrowings to the extent they are regarded as
an adjustment to the interest cost.

2.20 Related Party Transactions

Related Party Transactions are accounted for based on
terms and conditions of the agreement / arrangement
with the respective related parties. These related party
transactions are determined on an arm''s length basis and
are accounted for in the year in which such transactions
occur and adjustments if any, to the amounts accounted
are recognised in the year of final determination.

There are common costs incurred by the entity having
significant influence / Other Related Parties on behalf
of various entities including the Company. The cost of
such common costs are accounted to the extent debited
separately by the said related parties.

2.21 Exceptional Items

Exceptional items are items of income and expenses which are
of such size, nature or incidence that their separate disclosure
is relevant to explain the performance of the Company.

2.22 Use of estimates and judgements

The preparation of Standalone Financial Statements
requires management to make judgements, estimates
and assumptions that affect the application of accounting
policies and the reported amounts of assets, liabilities,
income and expenses disclosures of contingent liabilities
at the date of the standalone financial statements. Actual
results may differ from these estimates.

Estimates and underlying assumptions are reviewed on
an ongoing basis. Revisions to accounting estimates are
recognized prospectively.

Judgements are made in applying accounting policies
that have the most significant effects on the amounts
recognized in the Financial Statements.

Assumptions and estimation uncertainties that have a
significant risk of resulting in a material adjustment are
reviewed on an ongoing basis.

The areas involving critical estimates or judgments are :

a. Estimation of useful life of tangible and intangible
asset. (Refer Note 2.3, 2.4)

b. Impairment of PPE and intangible assets
(Refer Note 2.5)

c. Impairment of Investments (Refer Note 2.16)

d. Fair valuation of Investments (Refer Note 2.16)

e. Recognition and measurement of provisions and
contingencies; key assumptions about the likelihood
and magnitude of an outflow of resources. (Refer
Note 2.12 and 2.13)

f. Measurement of defined benefit obligation: key
actuarial assumptions.(Refer Note 2.11)

g. Estimation of Income Tax (current and deferred) -
(Refer Note 2.14)

3 Recent Pronouncements

(a) Standards issued/amended but not yet effective

"The Ministry of Corporate Affairs (MCA) notifies new
standard or amendments to the existing standards. There
is amendment to Ind AS 21 "Effects of Changes in Foreign
Exchange Rates" such amendments would be applicable
from 01 April 2025.

The Effects of Changes in Foreign Exchange Rates
specify how an entity should assess whether a currency
is exchangeable and how it should determine a spot
exchange rate when exchangeability is lacking. The
amendments also require disclosure of information that
enables users of its financial statements to understand
how the currency not being exchangeable into the other
currency affects, or is expected to affect, the entity''s
financial performance, financial position and cash flows.

The amendments are effective for the period on or after
01 April 2025. When applying the amendments, an entity
cannot restate comparative information.

The Company has reviewed the new pronouncement
and based on its evaluation has determined that these
amendments would not have a significant impact on the
Company''s Standalone Financial Statements.

(b) Standards issued/amended and became effective

The Ministry of Corporate Affairs notified new standards
or amendment to existing standards under Companies
(Indian Accounting Standards) Rules as issued from
time to time. The following amendments are effective
from 01 April 2024.

Amendments to Ind AS 116 - Lease liability in a sale
and leaseback:

The amendments require an entity to recognise lease
liability including variable lease payments which are not
linked to index or a rate in a way it does not result into gain
on Right of use asset it retains.

Ind AS 117 - Insurance Contracts:

MCA notified Ind AS 117, a comprehensive standard that
prescribe, recognition, measurement and disclosure
requirements, to avoid diversities in practice for accounting
insurance contracts and it applies to all companies i.e., to all
"insurance contracts" regardless of the issuer. However, Ind
AS 117 is not applicable to the Company but only to entities
which are insurance companies registered with IRDAI.

The Company has reviewed the new pronouncement
and based on its evaluation has determined that these
amendments do not have a significant impact on the
Company''s Standalone Financial Statements.

18.4 Disclosure of Rights

The Company has only one class of equity shares having a par value of Rs. 10 each. Each holder is entitled to one vote per
equity share. Dividends are paid in Indian Rupees. Dividend proposed by the Board of Directors, if any, is subject to the
approval of the shareholders at the Annual General Meeting, except in the case of interim dividend.

In the event of liquidation of the Company, the holder of the equity shares will be entitled to receive any of the remaining
assets of the Company in proportion to the number of equity shares held by the shareholders, after distribution of all
preferential amount.

18.5 Aggregate number of bonus shares issued, shares issued for consideration other than cash and shares bought
back during the period of five years immediately preceding the reporting date:

(a) The Company has allotted 12,900,000 shares without payment being received in cash for Acquisition of HHT. (Refer Note 51)

(b) The Company has not allotted any bonus shares.

(c) The Company has not bought back any shares during the aforesaid period.

Notes Nature and Purpose of Reserves

19.1 Securities Premium

Securities premium is used to record the premium on issue of securities. The reserve is utilised in accordance with the Section
52 of the Act.

19.2 Surplus in Statement of Profit and Loss (Including Other Comprehensive Income)

Surplus in Statement of Profit and Loss represents Company''s cumulative earnings since its formation less the dividends /
capitalisation, if any. These reserves are free reserves which can be utilised for any purpose as may be required. However, on
account of divestment in subsidiaries, retained earnings pertaining to those subsidiaries have been eliminated.

19.3 Fair value gain / (loss) on equity investments classified as FVTOCI

Fair value gain / (loss) on equity investments classified as FVTOCI reserve has been created on account of change in fair value
of the investments. The Company has not provided the tax impact on Fair value changes on investment in equity shares held
as FVTOCI considering that no future capital gains might be available to offset the loss in the next 8 years. (Refer Note 49)

19.4 General Reserve

The general reserve is used from time to time to transfer profits from retained earnings for appropriation purpose. The general
reserve is created by transfer of one component of equity to another and is not an item of other comprehensive income.

19.5 Equity Component of Compound Financial Instrument

The Company had allotted 13,289 Convertible Debentures of Rs. 100,000 each redeemable / convertible into equity shares at
Rs. 204 each as per scheme of amalgamation dated 25 April 2008, sanctioned by Honorable High Court of Madras between
Software Solutions Integrated Limited (SSI) and the Company. The same has been reversed on Conversion of Convertible
Debentures to equity shares in FY 23-24.

38 Leases

a) Applicability

The Company, at the inception of a contract assesses whether a contract is, or contains, a lease if the contract conveys the
right to control the use of an identified asset for a period of time in exchange for consideration.

In adopting Ind AS 116, the Company has applied the below practical expedients:

(i) The Company has applied a single discount rate to a portfolio of leases with reasonably similar characteristics.

(ii) The Company has treated the leases with remaining lease term of less than 12 months as if they were "short term leases".

(iii) The Company has not applied the requirements of Ind AS 116 for leases of low value assets.

(iv) The Company has excluded the initial direct costs from measurement of the right-of-use asset at the date of transition.

The Company has taken land and buildings on leases having lease terms of more than 1 year to 9 years, with the option
to extend the term of leases. Refer Note 4.2 for carrying amount of right-to-use assets at the end of the reporting period
by class of underlying asset.

I) Goods and Service Tax:

The Company has received a Show Cause Notice from the Directorate General of Goods & Services Tax Intelligence
dated 22 July 2024, on account of alleged non-payment of GST liability pertaining to construction services provided
in connection with the North Town Project. Pursuant to the notice, the Company had filed a reply on 22 August 2024,
however a demand order was issued on 17 January 2025, raising a total demand of Rs. 1,375.06 lakhs, comprising a base
disputed tax amount of Rs. 687.53 lakhs and an equivalent penalty of Rs. 687.53 lakhs.

Consequent to the above notice, the Company has started availing GST Input credit on its expenses in the monthly
returns being filed such that adequate credit is available to discharge the liability should and if the said matter be
adjudicated against the Company. An amount of Rs. 75.03 lakhs has been recognized under the head "Balances with
Government Authorities" under the head "Other Non-Current Assets". Correspondingly, the Management has also
created a provision for contingencies amounting to Rs. 75.03 lakhs which has been presented under the head non¬
current provisions , in a scenario where the said matter is decided in favour of the Company and the Company is unable
to utilize the aforesaid accumulated Input tax credit.

Subsequent to the year ended 31 March 2025, the Company filed the writ petition on 15 April 2025 with the Honourable
High court of Madras and by virtue of order dated 21 July 2025 - the Honourable High Court of Madras has set aside the
show cause notice/order issued by the Department on procedural grounds without going into the merits of the matter as
to whether GST was leviable on the said supply or not.

II) SEBI Regulations:

During the year, the Company received an order from Securities and Exchange Board of India ("SEBI") levying a penalty
of Rs. 14 Lakhs for non-submission of Payment Confirmation Status (PCS) and No Default Statement (NDS) to Credit
Rating Agencies during the period when NCDs were outstanding. The Company has further appealed against the order
and Securities Appellate Tribunal (SAT) had admitted the appeal against a security deposit of Rs. 5 Lakhs which has been
grouped under the head "Security deposits paid under protest" grouped as part of "Other Non-Current Financial Assets".

III) Stamp duty on Immovable property on Merger

The Company has received a demand from the sub-registrar''s office of Government of Tamil Nadu for amount of Rs.
1,243.24 lakhs vide letter dated 26 May 2025. Pursuant to the aforesaid demand , the Company had filed a writ petition

with the Honourable High Court of Madras challenging the aforesaid demand. By virtue of the order dated 19 June 2025
passed by the Honourable High Court, the said demand was set aside with the instructions to the relevant authority to
follow the due process under the applicable law before levying/recovering the demand.

Subsequently, the Company received a revised demand of Rs. 378.28 lakhs on 30 June 2025. The Company has filed a
writ petition against the revised demand on 16 July 2025. The matter is currently under process before the Honourable
High Court, and based on legal advice, Management is confident of a favorable outcome accordingly, no provision has
been recognised during the year ended 31 March 2025.

(i) Income Tax - FY 2006-07

The Company''s writ petition against the re-opening of assessment w.r.t FY 2006-07 was rejected by the Honourable
High Court of Madras. Consequent to the special leave petition filed with Honourable Supreme Court of India, the matter
has been remanded back to the Honourable High Court of Madras with a direction on the maintainability of writ petition
and the matter to be decided based on merits. The estimated tax impact on account of the proposed adjustment has
been quantified above and the same excludes interest and penalty , if any, which may be leviable upon disposal of the
case by the Honourable High Court of Madras and consequent re-assessment, if applicable.

(ii) Income Tax - FY 2007-08

W.r.t proposed addition of Rs. 37,771.79 lakhs under Section 68 of the Income Tax Act-1961, the matter was decided
in the Company''s favour by the Commissioner of Income-Tax (Appeals). On a subsequent appeal by the Income Tax
Department to the Income Tax Appellate Tribunal (ITAT), the matter has been remanded back to the Assessing officer
to be assessed on facts and merits. The Company has preferred an appeal with the Honourable High Court of Madras
against the aforesaid order of ITAT and the same is pending dosposal. The Company believes that since there is no
demand of tax on the Company as at the Balance sheet date, this need not be presented as "Claims not acknowledged
as debts" in Note 40.1(A) above. The estimated tax impact on account of the proposed adjustment has been quantified
above and the same excludes interest and penalty , if any, which may be leviable upon disposal of appeal and consequent
assessment order, if applicable.

(iii) Income Tax - Representative Assessee

The Company has been treated as an representative assessess of M/s Platex Limited, Mauritius , Parent of the Company
and assessment order and tax demand was levied on the Company. While these assessment orders were set aside
by the ITAT, the Income Tax Department has filed an appeal before the Honourable High Court of Andhra Pradesh
and Telangana in the aforesaid matter which is pending disposal. Considering that the aforesaid matter, the Company
believes that this need not be presented as "Claims not acknowledged as debts" in Note 40.1(A) above.

(iv) Previous year figures

Though the aforesaid matters were outstanding as at the previous year end , i.e 31 March 2024, considering that the
said disclosures were not made in the Financial statements for the year ended 31 March 2024, the same have not been
included in the aforesaid table.

40.3 Management''s assessment

The amounts shown under contingent liabilities and disputed claims represent the best possible estimates arrived at on
the basis of the available information. The Company''s tax jurisdiction is in India. Significant judgements are involved in
determining the provision for income taxes including judgement on whether tax positions are probable of being sustained in
tax assessments. A tax assessment can involve complex issues, which can only be resolved over extended time periods.

Further, various government authorities raise issues/clarifications in the normal course of business and the Company has
provided its responses to the same and no formal demands/claims has been made by the authorities in respect of the same
other than those pending before various judicial/regulatory forums as disclosed above.

The uncertainties and possible reimbursement in respect of the above are dependent on the outcome of the various legal
proceedings which have been initiated by the Company or the claimants, as the case may be and, therefore, cannot be
predicted accurately or relate to a present obligations that arise from past events where it is either not probable that an
outflow of resources will be required to settle or a reliable estimate cannot be made. Consequential impact of interest and
penalty, if any, in case of adverse ruling of above litigations have not considered in above disclosure. However, the Company
expects a favorable decision with respect to the above disputed demands / claims based on professional advice, as applicable
and, hence, no specific provision for the same has been made.

C. Finance cost includes Rs. 53.42 Lakhs and Rs. 225.95 lakhs accounted for the year ended 31 March 2025 and 31 March
2024 respectively, representing the interest payable under Section 234B and Section 234C of the Income Tax Act, 1961
consequent to the determination of the tax payable for the FY 22-23 based on the return of income filed during the FY
23-24 and the non-remittance of the determined net tax liability amounting to Rs. 1,325.24 Lakhs to the Department
of Income Tax as at 31 March 2024. During the year ended 31 March 2025, the said Income Tax Liability along with the
interest accrued upon has been remitted to the Department of Income Tax.

Further, Finance cost also includes Rs. 26.38 Lakhs representing the interest payable under Section 234B and Section
234C of the Income Tax Act, 1961, based on the return of income filed during the FY 16-17 and the non-remittance of the
determined net tax liability amounting to Rs. 216.67 Lakhs to the Department of Income Tax. The said tax liability along
with interst is still outstanding.

41.2 The Company has not recognised any deferred tax asset in the Financial Statements on the capital loss on account of sale of
shares of its subsidiaries during the FY 23-24 considering that no future capital gains in the next 8 years might be available to
offset the said loss:

On account of the amendment in the Finance Act , 2024 w.e.f FY 2024-25, the tax rate on the sale of long term unquoted
equity share shall be at 12.5% (excluding surcharge and cess) and no indexation benefit. However, the unquoted long term
equity share which are sold before the amendment shall be taxed at 20% (excluding surcharge and cess) and with indexation
benefit. Since the Company had sold PVPGL, PVPML and NCCPL in FY 23-24 i.e, before the amendment in the Finance Act,
2024 , the loss is indexed at Rs 152,568.70 lakhs. However, since the indexed capital loss will be set off against the future
Capital gains and the balance capital gain post setting off loss which will be taxed at the amended rate i.e. 12.5% (excluding
surcharge and cess), therefore the deferred tax is quantified at 12.5% (excluding surcharge and cess) as at 31 March 2025 on
the indexed capital loss.

43 Additional regulatory information as required by Schedule III to the Act (Contd..)

2. Includes exceptional items and provision for diminution in value of assets

3. Tax effect has been considered only in respect of depreciation and finance cost, which are deductible under the
provisions of the Income-tax Act, 1961.

No tax effect has been considered for exceptional items and other non-cash operating expenses, as these primarily
pertain to the capital loss on sale of investments recognised in the previous year and impairment of investments
recognised during the current year. Since no corresponding tax impact has been recorded in the financial statements
for these items, the same has been excluded from the above computation.

4. Expected interest outflow on long term borrowings and principal repayments represent the expected outflows until
31 March 2025 / 31 March 2024 (one year from the Balance Sheet date)

Reason for change more than 25%

The increase in the percentage during the year is due to recognition of revenue and reduction in the total debt
servicing obligations, including interest, lease payments, and principal repayments, as compared to the previous year.

Notes :

(a) The amount of transactions disclosed above is without considering Goods and Services Tax (wherever applicable,
irrespective of whether input credit has been availed or not) as charged by/to the counter party as part of the invoice/
relevant document and is gross of withholding tax under the Income Tax Act,1961

(b) The amount of payables/receivables indicated above is after deducting Tax (wherever applicable) and after including
Goods and Services Tax (wherever applicable) as charged by/to the counter party as part of the invoice/relevant document.

(c) The Company accounts for costs incurred by / on behalf of the Related Parties based on the actual invoices / debit notes
raised and accruals as confirmed by such related parties. The Related Parties have confirmed to the Management that
as at 31 March 2025 and 31 March 2024, there are no further amounts payable to / receivable from them, other than as
disclosed above. The Company incurs certain costs on behalf of other Companies in the group. These costs have been
allocated/recovered from the group Companies on a basis mutually agreed to with the group Companies.

(d) The aforesaid transactions are disclosed only from the date / upto the date, the party has become / ceases to become
a related party to the Company.

(e) The remuneration payable to key management personnel is determined by the Nomination and Remuneration committee
having regard to the performance of individuals and market trends.

(f) As the liabilities for gratuity are provided on actuarial basis for the Company as a whole, the amounts pertaining to KMP
are not included above.

(g) The following amounts as disclosed above, are presented at the undiscounted amount and not at amortised cost as
carried in the Financial Statements.

i) Loans advanced to NCCPL (erstwhile subsidiary of the Company) (Refer Note 51)

ii) Sale Consideration Receivable from PHML (erstwhile subsidiary of the Company) on account of sale of NCCPL
(Refer Note 48)

(h) The Company is in the process of assessing its compliances under the Listing Regulations, particularly w.r.t approval of
Related party transactions by the Audit committee under Regulation 23 of the Listing Regulations and the approval of
material-related party transactions by the shareholders under the aforesaid Regulations. The impact of current / past
non-compliance, if any, shall be dealt with as and when it is identified and such non-compliance if any shall not have
material impact on the Financial Statements.

44 Disclosure in respect of Related Parties (Contd..)

(i) The Company had entered into an assignment agreement dated 22 February 2023, pursuant to which the loan payable
by the Company to Dakshin Realties Private Limited was proposed to be assigned to Mrs. Jhansi Surredi (wife of the
Managing Director), in light of the corresponding loan payable by Dakshin to Mrs. Jhansi Surredi. Accordingly, the amount
payable to Dakshin was to be transferred to Mrs. Jhansi Surredi under the terms of the said tripartite agreement.

However, based on internal discussions held subsequently, the management decided not to implement the assignment
agreement. Consequently, the loan continues to remain in the books of the Company as payable to Dakshin. The
Company is in the process of executing a formal cancellation of the aforesaid agreement.

45 Development Agreements

45.1 Rainbow Foundations Limited

(i) Security deposit and advance from Developer

The Company, being the Landowner has signed a JDA on 6 April 2011 with the Developer, North Town Estates Private
Limited for development of land of measuring 70 Acres (approx.) (1,259.90 grounds). The Company had terminated the
Joint Development Agreement (JDA) on 23 March 2022. The developer has constructed an extent of 34 Acres of land
in phases consisting of Ananda, Brahma, Chetna, Ekanta and Gulmohar. The developer has completed the phases Viz.
Ananda, Brahma, and Gulmohar in its entirety and portion of Chetna and Ekanta except 5 blocks in Chetna and 1 block in
Ekanta which forms part of the terminated portion.

Following the termination of the earlier agreement with North Town, the Company executed a fresh JDA with Rainbow
Foundations Limited to undertake the balance construction and development. The arrangement pertains specifically to
the unfinished towers in Project Chetna and Project Ekanta, which had previously been partly developed by North Town
Estates Private Limited. The Company shall receive 40% of revenue received on sale of flats in Project Chetna and 36%
from Project Ekanta. However, 4% absolute share of the Company in such projects shall be adjusted by the Developer
until the refundable security deposit of Rs. 705 Lakhs has been recovered. Further, the Company shall start receiving
the proceeds from the projects only after the developer recovers the total amount paid by the developer on a monthly
basis in advance for meeting the operating expenses of the Company and the loan amounting to Rs. 2,400 Lakhs. The
summary of the security deposit provided is summarised below:

45.2 Casagrand Builder Private Limited

The Company had sold 8 acres of Land to Casagrand Zingo Private Limited and had entered in a joint development agreement
with Casagrand Builder Private Limited (Casagrand) on 27 June 2022 for development of additional 12 acres of land. As per
the terms of the agreement, 12 acres of land was earmarked for development under a 40:60 area-sharing model, wherein
40% of the developed area would be allocated to the Company and 60% to Casagrand.

Casagrand has furnished an interest free refundable security deposit of Rs. 3,000 Lakhs. As part of settling the IFSD, the
Company had foregone the right of 6,900 sq.ft of land area from its 40% area-share for an amount of Rs. 1,500 Lakhs and for
the balance 1,500 Lakhs the same shall be adjusted with the revenue arising from its adjusted share of area. Further, as per
the supplemental agreement entered between Casagrand and the Company on 14^th March 2025 , Casagrand has adjusted
the Rs 1,500 towards the additional share of 6,900 Sq.ft. Therefore, during the year FY 24-25 the Company has adjusted this
security deposit and recognised revenue amounting to Rs 1,500 lakhs.

56 Financial Instruments (Contd..)

56.3 Fair value measurement

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

The fair value of the financial assets and liabilities is included at the amount at which the instrument could be exchanged in a
current transaction between willing parties, other than in a forced or liquidation sale.

The following methods and assumptions were used to estimate the fair value / amortized cost:

(a) Long-term fixed-rate borrowings are evaluated by the Company based on parameters such as interest rates, individual
losses and creditworthiness of the receivables

(b) The fair value of unquoted instruments, loans from banks and other financial liabilities, as well as other non-current
financial liabilities are estimated by discounting future cash flows using rates currently available for debt on similar terms,
credit risk and remaining maturities.

(c) The fair value of investment in quoted Equity Shares is measured at quoted price, and the fair value changes are
routed through OCI.

(d) Fair values of the Company''s interest-bearing borrowings and loans are determined by using discounted cash flow
(DCF) method using discount rate that reflects the issuer''s borrowing rate as at the end of the respective reporting
period. The own non-performance risk as at 31 March 2025 and 31 March 2024 was assessed to be insignificant.

(i) Financial Assets that are measured at fair value through OCI/Profit and loss

The following table presents fair value hierarchy of assets and liabilities measured at fair

---

Mar 31, 2024

1. Considering the Operations and Net worth of the Subsidiaries, the Company has created provision for its Investments and Advances in subsidiaries and has been recorded in "Other expenses" in the Statement of Profit and Loss. (Refer Note 34)

2. On account of restructuring, the Company has divested stake in the following subsidiaries: (Refer Note 48)

i) PVP Global Ventures Private Limited

ii) PVP Media Ventures Private Limited

iii) New Cyberabad City Projects Private Limited

Consequent to the above, the provisions created on the investment made in the erstwhile subsidiaries have been written back and has been recorded as Exceptional (Gain)/ Loss in the Statement of Profit and Loss. (Refer Note 35.1)

17.4 Disclosure of Rights

The Company has only one class of equity shares having a par value of Rs. 10 each. Each holder is entitled to one vote per equity share. Dividends are paid in Indian Rupees. Dividend proposed by the Board of Directors, if any, is subject to the approval of the shareholders at the Annual General Meeting, except in the case of interim dividend.

In the event of liquidation of the Company, the holder of the equity shares will be entitled to receive any of the remaining assets of the Company in proportion to the number of equity shares held by the shareholders, after distribution of all preferential amount.

17.5 Aggregate number of bonus shares issued, shares issued for consideration other than cash and shares bought back during the period of five years immediately preceding the reporting date:

(a) The Company has not allotted any shares without payment being received in cash.

(b) The Company has not allotted any bonus shares.

(c) The Company has not bought back any shares during the aforesaid period.

Notes Nature and Purpose of Reserves

18.1 Securities Premium

Securities premium is used to record the premium on issue of securities. The reserve is utilised in accordance with the Section 52 of the Act.

18.2 Debenture Redemption Reserve

The Company has issued redeemable non-convertible listed debentures. Accordingly, the Companies (Share Capital and Debentures Rules, 2014 (as amended)), requires the Company to create Debenture Redemption Reserve (DRR) out of profits of the Company. During the financial year 2018-19, DRR amounting to Rs.150 lakhs has been created out of profits. During the year ended 31 March 2023, the DRR amounting to Rs. 150 Lakhs has been transferred to General Reserve since the debentures are redeemed. (Refer Note 45(a)).

18.3 Surplus in Statement of Profit and Loss (Including Other Comprehensive Income)

Surplus in Statement of Profit and Loss represents Company''s cumulative earnings since its formation less the dividends / capitalisation, if any. These reserves are free reserves which can be utilised for any purpose as may be required.

18.4 Fair value gain / (loss) on equity investments classified as FVTOCI

Fair value gain / (loss) on equity investments classified as FVTOCI reserve has been created on account of change in fair value of the investments. The Company has not provided the tax impact on Fair value changes on investment in equity shares held as FVTOCI considering that no future capital gains in the next 8 years might be available to offset the loss. (Refer Note 49)

18.5 General Reserve

The general reserve is used from time to time to transfer profits from retained earnings for appropriation purpose. The general reserve is created by transfer of one component of equity to another and is not an item of other comprehensive income.

18.6 Equity Component of Compound Financial Instrument

The Company had allotted 13,289 Convertible Debentures of Rs. 100,000 each redeemable / convertible into equity shares at Rs. 204 each as per scheme of amalgamation dated 25 April 2008, sanctioned by Honorable High Court of Madras between SSI Limited and the Company. (Refer Note 45(b))

19.2 Security

I. As at 31 March 2024

Terms Loans - Vehicle Loan - From Kotak Mahindra Bank

Vehicle Loans are secured by way of hypothecation of respective vehicles at an interest rate of 8.86% p.a. and repayable in 5 years in monthly installments.

II. As at 31 March 2023

Terms Loans - Vehicle Loan - From Kotak Mahindra Bank

Vehicle Loans are secured by way of hypothecation of respective vehicles at an interest rate of 8% - 10.91% p.a. and repayable in 5 years in monthly installments.

37 Leases a) Applicability

The Company, at the inception of a contract assesses whether a contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration.

In adopting Ind AS 116, the Company has applied the below practical expedients:

(i) The Company has applied a single discount rate to a portfolio of leases with reasonably similar characteristics.

(ii) The Company has treated the leases with remaining lease term of less than 12 months as if they were ""short term leases"".

(iii) The Company has not applied the requirements of Ind AS 116 for leases of low value assets.

(iv) The Company has excluded the initial direct costs from measurement of the right-of-use asset at the date of transition."

The Company has taken land and buildings on leases having lease terms of more than 1 year to 9 years, with the option to extend the term of leases. Refer Note 4.2 for carrying amount of right-to-use assets at the end of the reporting period by class of underlying asset.

The amounts shown under contingent liabilities and disputed claims represent the best possible estimates arrived at on the basis of the available information. Further, various government authorities raise issues/clarifications in the normal course of business and the Company has provided its responses to the same and no formal demands/claims has been made by the authorities in respect of the same other than those pending before various judicial/regulatory forums as disclosed above. The uncertainties and possible reimbursement in respect of the above are dependent on the outcome of the various legal proceedings which have been initiated by the Company or the claimants, as the case may be and, therefore, cannot be predicted accurately.

40.1 Income tax expense in the statement of profit and loss comprises: (Contd.)

Notes:

(i) During the year ended 31 March 2023, the Company has opted for beneficial tax rate under Section 115BAA of the Income Tax Act, 1961. In accordance with Section 115BAA of the Income Tax Act, 1961, the Company is not eligible to carry forward the Minimum Alternative Tax credit recognised under Section 115JB of the Income Tax Act, 1961 and has consequently written off the MAT credit recognised in books as on 31 March 2022 amounting to Rs. 941.74 Lakhs as a part of deferred tax expense in the year ended 31 March 2023.

(ii) Finance cost includes Rs. 225.95 Lakhs accounted for the year ended 31 March 2024 representing the interest payable on an estimated basis under Section 234B and Section 234C of the Income Tax Act, 1961 consequent to the determination of the tax payable for the year ended 31 March 2023 based on the return of income filed during the FY 23-24 and the non-remittance of the determined net tax liability amounting to Rs. 1,325.24 Lakhs to the department of Income Tax. On account of the challenges related to working capital, the tax liability and the corresponding interest remains to be outstanding. However, the Management believes that the payment of outstanding tax liability along with the interest will be made upon receipt of advances from other joint developers/ receipt of Interest Free Security Deposit (IFSD) from Brigade (Refer Note 33 & 44.3)

40.4 Following is the analysis of the deferred tax (asset) / liabilities presented in the balance sheet.

During the year ended 31 March 2024, the Company has recognised deferred tax asset in accordance with Ind AS - 12. Deferred tax assets are recognized for all deductible temporary differences, carry forward losses, to the extent that it is probable that taxable profit will be available against which those deductible temporary differences can be utilized:

Reason for change more than 25%

Certain short-term loans taken from related parties have been repaid during the year while a new vehicle loan has also been availed. The Company has issued 15,350,980 equity shares pursuant to conversion of Convertible Debentures and acquisition of Humain Healthtech Private Limited thereby leading to increase in equity and in securities premium. Further, the Company had divested stake in its subsidiaries, consequent to which provision created for investments in subsidiaries and gain/loss on sale of investments are recorded as exceptional item leading to increase in other equity.

Reason for change more than 25%

During the year, the Company has availed a new vehicle loan against the hypothecation of the respective vehicles. The Company has issued 15,350,980 equity shares pursuant to conversion of Convertible Debentures and acquisition of Humain Healthtech Private Limited thereby leading to increase in equity and in securities premium. Further, the Company had divested stake in its subsidiaries, consequent to which provision created for investments in subsidiaries and gain/loss on sale of investments are recorded as exceptional item leading to increase in other equity.

1. Finance cost is excluding interest on short term borrowings. Further, interest on late filing of GST returns / TDS returns included as part of finance cost have been excluded for the computation of Debt Service Coverage Ratio

2. Expected interest outflow on long term borrowings and principal repayments represent the expected outflows until 31 March 2025 / 31 March 2024 (one year from the Balance Sheet date)

3. Includes certain components of exceptional items and provision for diminution in value of assets

4. Tax effect has not been provided in the current year since no tax impact has been given in the financial statements w.r.t capital loss incurred on sale of investments

Reason for change more than 25%

Company has availed long term loan during the year ended 31 March 24 for which the repayment shall start during the FY 24-25 hence, principal and interest payments have increased.

Reason for change more than 25%

The Company has issued 15,350,980 equity shares pursuant to conversion of Convertible Debentures and acquisition of Humain Healthtech Private Limited thereby leading to increase in equity and in securities premium. Further, the Company had divested stake in its subsidiaries, consequent to which provision created for investments in subsidiaries and gain/loss on sale of investments are recorded as exceptional item leading to increase in other equity.

Reason for change more than 25%

Since the Company is into real estate business, the cash flows from operating activites are not regular. In certain cases the amounts are deposited in the escrow accounts by the developers which is released to the Company on fulfillment of certain conditions. Hence during the FY 2023-24, majorily the amounts are deposited in escrow accounts (Refer Note 44.4) as security deposits and there was no direct sale of land and hence no corresponding cash flows. As a result the Company had faced crunched liquidy and was able to discharge its liabilities with delay, hence resulting in decrease in Trade payable turnover ratio.

Reason for change more than 25%

On account of restructuring, the Company had divested its stake in New Cyberabad City Projects Private Limited (erstwhile subsidiary, now a related party) and the loans advanced have been reclassified from Investment to Loan resulting in capital employed increasing in the financial year 2023-2024. Further Nil sales during the year has reduced the profits.

k) Return on Investment = Net profit after tax / average equity - Not Applicable as return on investment can be given only project wise and not for the Company as a whole

(a) The amount of transactions disclosed above is without considering Goods and Services Tax (wherever applicable, irrespective of whether input credit has been availed or not) as charged by/to the counter party as part of the invoice/ relevant document and is gross of withholding tax under the Income Tax Act,1961

(b) The amount of payables/receivables indicated above is after deducting Tax (wherever applicable) and after including Goods and Services Tax (wherever applicable) as charged by/to the counter party as part of the invoice/relevant document.

(c) The Company accounts for costs incurred by / on behalf of the Related Parties based on the actual invoices / debit notes raised and accruals as confirmed by such related parties. The Related Parties have confirmed to the Management that as at 31 March 2024 and 31 March 2023, there are no further amounts payable to / receivable from them, other than as disclosed above. The Company incurs certain costs on behalf of other Companies in the group. These costs have been allocated/recovered from the group Companies on a basis mutually agreed to with the group Companies.

(d) The aforesaid transactions are disclosed only from the date / upto the date, the party has become / ceases to become a related party to the Company.

(e) The remuneration payable to key management personnel is determined by the Nomination and Remuneration committee having regard to the performance of individuals and market trends.

(f) As the liabilities for gratuity are provided on actuarial basis for the Company as a whole, the amounts pertaining to KMP are not included above.

(g) The following amounts as disclosed above, are presented at the undiscounted amount and not at amortised cost as carried in the Financial Statements.

i) Loans advanced to NCCPL (erstwhile subsidiary of the Company) (Refer Note 52)

ii) Sale Consideration Receivable from PHML (erstwhile subsidiary of the Company) on account of sale of NCCPL (Refer Note 48)

44 Development Agreements

The Company, being the Landowner has signed a JDA on 6 April 2011 with the Developer, North Town Estates Private Limited for development of land of measuring 70 Acres (approx.) (1,259.90 grounds). The Company had terminated the Joint Development Agreement (JDA) on 23 March 2022. The developer has constructed an extent of 34 Acres of land in phases consisting of Ananda, Brahma, Chetna, Ekanta and Gulmohar. The developer has completed the phases Viz. Ananda, Brahma, and Gulmohar in its entirety and portion of Chetna and Ekanta except 5 blocks in Chetna and 1 block in Ekanta which forms part of the terminated portion.

44.1 The Company has entered into a JDA with Rainbow Foundations Limited on 23 March 2022 for developing 5 blocks in Chetna and 1 block in Ekanta. Rainbow Foundations Limited has furnished a refundable security deposit of Rs. 643.10 Lakhs (Rs. 688.89 Lakhs as on 31 March 2023) and Rs. 3,361.91 Lakhs (Rs. 2,716.11 Lakhs as on 31 March 2023) as an Advance which shall be set off from the Company''s share of receivables, proportionately from every sale of apartments as per the JDA.

44.2 During the year ended 31 March 2023, the Company had sold 8 acres of Land to Casagrand Zingo Private Limited and had entered in a joint development agreement with Casagrand Builder Private Limited on 27 June 2022 for development of additional 12 acres of land. Casagrand Builder Private Limited has furnished an interest free refundable security deposit of Rs. 3,000 Lakhs.

44.3 During the current year, the Company had entered into a JDA dated 21 February 2024 with Brigade Enterprises Limited ("Brigade") to jointly develop a residential project on the land owned by the Company in Chennai. Consequent to the above, the Company has received an amount of Rs. 200 Lakhs as an IFSD. Further an amount of Rs. 4,800 Lakhs has been deposited in an escrow account by Brigade which shall be released to the Company as IFSD along with interest accrued thereon upon fulfilment of certain conditions as stated in the JDA.

The Company believes that until fulfilment of such conditions, the aforesaid escrow account balance (asset) as well as the corresponding security deposit from Brigade (liability) shall not form part of the Balance Sheet and hence is not required to be accounted.

45 Terms of Loan and its repayment a) Non-Convertible Debentures

The Shareholders, in the Annual General Meeting (AGM) dated 10 September 2018, had authorised to issue 1,950 listed, (rated, secured), redeemable Non-Convertible Debentures (NCDs) of Rs. 10 Lakhs each for an aggregate amount of Rs. 19,500 Lakhs, out of which the Company has issued Tranche A 386 Debentures aggregating to Rs. 3,860 Lakhs and Tranche B of 829 Debentures aggregating to Rs. 8,290 Lakhs which were, subscribed and paid up as per the Debenture trust deed dated 16 June 2017 totaling to Rs.12,150 Lakhs listed in BSE Limited. Debentures amounting to Rs. 7,350 Lakhs have remained unissued. The Company has made partial reduction in face value of Non-Convertible Debenture Tranche A from Rs 10 Lakhs per NCD to Rs 6.434 Lakhs per NCD. The reduction in face value was intimated to National Securities Depository Limited (""NSDL"") vide letter dated 2^nd February 2022. During the year ended 31 March 2023, the Company has made partial reduction in face value of NCD Tranche B from Rs. 10 Lakhs to Rs. 0.68 Lakhs per NCD. The reduction in face value was intimated to the NSDL vide letter dated 4 July 2022.

The Company has repaid an amount of Rs.11,778.50 Lakhs towards principal payments of NCD (Tranche A & B). The Company has obtained a waiver of principal of Rs. 371.50 Lakhs on NCD (Tranche B) and interest accrued amounting to Rs.7,445.54 Lakhs on NCD (Tranche A & B) by virtue of a One Time Settlement with its debenture holder vide a mail dated 10 August 2022 and the debentures were delisted from the BSE Limited vide BSE''s confirmation letter dated 6 March 2023. This is classified as an exceptional item (Refer note 35).

The debentures and the debenture payments were secured by:

(i) English mortgage of all the rights on piece and parcel of the land located at Door No.8/8D, Stephenson Road, Perambur, Chennai measuring 9.154 acres.

(ii) First Charge exclusive basis on all rights titles interest and benefits of the Company in respect of the JDA, JDA Escrow Agreement, JDA Escrow Account and JDA Receivables excluding the outstanding security deposit.

(iii) A first ranking exclusive over security interest in debentures held by the Company amounting to Rs. 1,421.37 Lakhs in Blaster Sports Ventures Private Limited.

(iv) Non-disposal undertaking from Platex Limited for their share in the Company.

(v) Personal Guarantee of Promoter (Mr. Prasad V Potluri).

(vi) Interest payable is 18% p.a. The first payment is due on first year from the date of issuing debentures and thereon payable on quarterly basis.

(vii) The debentures shall be redeemed at par value on the redemption date.

b) Convertible Debentures

CD were issued upon receipt of the final installment of proceeds pursuant to the Subscription Agreement entered on 11 January 2007 and 21 February 2007 respectively. In 2008, The Hon''ble High Court of Madras approved the scheme of amalgamation between PVP Ventures Private Limited ("Amalgamating Company") and M/s SSI Limited ("Amalgamated Company") vide the order dated 25 April 2008. The Amalgamated Company was subsequently renamed as M/s PVP Ventures Limited ("the Company").

The Debentures will bear interest at the rate of 14.5% per annum. Interest on Debentures is payable semi-annually in arrears on 15 June and 15 December each year. Interest shall accrue on the overdue sum at the rate of 2 % per annum over and above the Interest Rate (the Default Interest Rate) from the due date. The Company had sought time from the debenture holder to pay the outstanding interest vide its letter dated 24 May 2022.

The Debenture Holder has exercised the option to convert the CD''s into equity shares of the Company vide letter dated 19 April 2023 which was subsequently approved in the Board Meeting held on 28 April 2023. Further to the above, the Company has obtained waiver from the Debenture holder during the year ended 31 March 2024 for waiver of interest from 01 April 2023 to 28 April 2023 amounting to Rs. 55.62 Lakhs vide email dated 19 May 2023. Pursuant to the above conversion, the debenture holder is entitled to 2,450,980 equity shares of the Company at a per share price of Rs. 204 against the CD outstanding amount i.e. Rs. 5,000 Lakhs. Accordingly, the share capital and securities premium has been increased by Rs. 245.10 Lakhs and Rs. 4,754.91 Lakhs respectively for the year ended 31 March 2024. (Refer Note 17.1)

46 Corporate Guarantee given to Subsidiary Company

The Company had mortgaged its land situated at Perambur, Chennai, as a security and had furnished corporate guarantee to a bank for the borrowings amounting to Rs. 10,000 Lakhs availed by one of its step-down subsidiary, PVP Capital Limited (PVPCL). The outstanding loan amount as per the books of accounts of PVPCL, as on 30 June 2022, including outstanding interest is Rs 24,097.52 Lakhs. The loanee i.e., PVPCL, has not adhered to repayment schedule of principal and interest dues to the bank. Consequently, the bank had filed for recovery of its dues before the Debt Recovery Tribunal (DRT) and had also initiated recovery proceedings against the Company under Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act, 2002).

PVPCL had applied for One Time Settlement (""OTS"") to the bank with respect to the outstanding due amount (including principal and interest). The OTS was accepted by the bank vide letter dated 15 March 2022. The lender bank has agreed for OTS of Rs 9,500 Lakhs. PVPCL had remitted Rs. 900 Lakhs before 31 March 2022 and the balance of Rs 8,600 Lakhs (towards OTS approved amount) & Rs. 33.36 Lakhs (interest for delayed payment of balance OTS approved amount) was remitted by the Company on 30 June 2022, being a principal guarantor to the loan. This is classified as an exceptional item. (Refer Note 35)

The Company had not created any provision for expected credit loss in the prior years upto 31 March 2022 towards the aforesaid guarantee provided under the expected credit loss model prescribed under Indian Accounting Standard - 109 -Financial instruments prescribed under the Rules.

47 Segment Reporting

The Company publishes these financial statements along with the consolidated financial statements. In accordance with Ind AS 108, Operating Segments, the Company has disclosed the segment information only in the consolidated financial statements.

48 Divestment in Subsidiaries

The Company has entered into an Share Purchase Agreement (""SPA"") dated 06 October 2023 with PV Potluri, a related party for sale of its 100% stake in 2 wholly owned subsidiaries i.e. PVP Global & PVP Media and with PHML, a related party for sale of its 100% stake i.e. 81% held by it in its subsidiary NCCPL for consideration payable in cash determined based on the valuation report under Rule 11UA of the Income Tax Rules, 1962 obtained from an independent registered valuer.

The Company had obtained approval from its Board of Directors in the board meeting held on 24 August 2023 for the aforesaid transaction. The Members of the Company vide Postal Ballot dated 30 September 2023 approved the divestment of 100% stake in the above subsidiaries. As a result of divestment, the provision created on the investments made in the subsidiaries by the Company have been written back in the books of account. The write back of provision has been treated as an exceptional item. (Refer Note 35)

The Company has carried the same at amortized cost as at 30 June 2024 in accordance with the requirements of Ind AS-109. Accordingly, the Management has discounted the said receivable considering the discount rate of 8% over an estimated repayment period of 10 years from October 2023. Further, the consideration receivable from PHML for sale of NCCPL is not subject to any interest on the outstanding amount. PHML along with its subsidiaries (PVP Cinema Private Limited and PVP Capital Limited) have a negative net worth, continuing losses. These aspects coupled with other related factors indicate that there is an existence of material uncertainty that will cast significant doubt on PHML''s ability to continue as a going concern. Though PHML is not carrying any significant business activity and there are challenges related to liquidity and Going Concern, the Management is confident of recovering the receivable within the agreed tenor of October 2033, considering the business plan of its subsidiary, NCCPL as stated in the Note 51 below and has assessed that there is no necessity to create an allowance for expected credit loss under Ind AS - 109.

49 Loss of Control in Picture House Media Limited

The Company holds 3,321,594 shares in PHML directly. Additionally, the Company used to hold 23,536,291 shares until six months ended 30 September 2023 through its erstwhile subsidiaries (PVP Global & PVP Media). Upto 30 September 2023, the investment in PHML was shown at cost as per the principles of Ind AS - 27 as it was a subsidiary of the Company. Pursuant to the restructuring highlighted in Note 48, PHML has ceased to become a subsidiary and the investments have been carried at market value i.e. FVTOCI. Though the Company has lost its control in PHML, the shares are not held for purpose of trading. Hence, the investment in PHML shall be measured at FVTOCI - as per Ind AS-109 and the corresponding Gain / Loss is recognised in the OCI.

The Company had also created provision on the investment made in PHML amounting to Rs. 492.84 Lakhs. The same has been written back and treated as an exceptional item for the quarter and year ended 31 March 2024. (Refer Note 35)

50 Acquisition of Subsidiary

The Company has entered into an SPA dated 06 October 2023 with PV Potluri and Humain Healthtech Private Limited (""HHT"") for purchase of 100% of Shares of HHT from PV Potluri for consideration determined based on the valuation report obtained from an independent registered valuer for consideration payable partly in Cash and partly in Shares of the Company.

The Company had obtained approval from its Board of Directors in the board meeting held on 24 August 2023 for the aforesaid transaction and in-principle approval from NSE & BSE to issue 12,900,000 equity shares of Face value of Rs. 10 each to PV Potluri for consideration other than Cash (i.e. shares of HHT). The Members of the Company vide Postal Ballot dated 30 September 2023 approved the acquisition of 100% stake in HHT for consideration partly in Cash and partly through issue of shares of the Company. Pursuant to the approval of the Shareholders, the above mentioned shares were issued on a preferential basis to PV Potluri and the shares were allotted through a circular resolution by the Board of Directors on 06 October 2023. Accordingly, the share capital and securities premium has been increased by Rs. 1,290 Lakhs and Rs. 267.80 Lakhs respectively in the year ended 31 March 2024. (Refer Note 17.1)

Though the Consolidated Net worth of the acquired subsidiary is negative and despite various other factors such as significant reduction in the actual sales & Profit after Tax of HHT at Standalone and Consolidated level as against the estimated numbers considered for valuation also impacted by suspension of operations at one of its centres, the Management believes that considering the future business projections, estimated cash flows of the subsidiary and the support intended to be provided by the Company no provision is required to be created against the investment in HHT for the year ended 31 March 2024.

51 Loans advanced to New Cyberabad City Projects Private Limited

The Company had invested in 24,832; 22% Secured Redeemable Non-Convertible Debentures of Rs. 100,000 each issued by New Cyberabad City Projects Private Limited (NCCPL), erstwhile subsidiary and currently a related party of the Company. Further, on 16 March 2015 the said investment of Rs. 24,832 Lakhs in debentures was converted to an Interest Free Secured loan against the security of Land owned by and Land development rights available with NCCPL repayable on 31 March 2017 which was further extended by 10 years to 31 March 2027. A further extension of 1 year until 31 March 2028 was granted vide supplementary agreement dated 07 February 2024. The outstanding loan amount as on 31 March 2024 is Rs. 21,843.49 Lakhs.

Further there are challenges associated with the enforceability and market value of security including but not limited to

i) Attachment of land owned by Adobe Realtors Private Limited, Arete Real Estate Developers Private Limited, Expressions Real Estate Developers Private Limited (erstwhile stepdown subsidiaries of the Company and currently related parties) by Securities and Exchange Board of India ("SEBI") and Enforcement Directorate ("ED"), who have granted development rights to NCCPL and (Details w.r.t attachment of land by SEBI & ED have been provided below)

ii) Enforceability of General Power of Attorney ("GPA") provided by the landowners to a third party from whom NCCPL has obtained the development rights.

Further, the NCCPL is in the process of digitization of its land records as required in the State of Telangana.

Though NCCPL is not carrying any business activity, based on the below mentioned factors, the Company believes that while there could be a further extension beyond the stipulated date of 31 March 2028, the amounts are fully recoverable and hence there is no necessity to create an allowance for expected credit loss.

i) Market value of a nearby land serving as a proxy to the land over which development rights held by NCCPL.

ii) Business plans of NCCPL to monetise the land bank by developing residential and/or commercial properties.

iii) Enforceable clause in the SPA (Refer Note 52 below) which provides the first priority repayment of the loan based on the cash flows to be generated out of the project to be developed as stated in (ii) above. Additionally, the Company is guaranteed 50% payout from the revenues generated in excess of the loan outstanding, out of the sale/development of the aforesaid properties.

The Company believes that the provisions of Section 186(1) & 188 of the Act have been complied with to the extent applicable.

Further based on internal assessment/professional opinion received in this regard, the other provisions of Section 186 of the Act in respect to loans, making investments, providing guarantees and securities are not applicable to the Company as it is involved on the business of providing infrastructural facilities.

Details w.r.t attachment of land (development rights of which are available with NCCPL) by SEBI & ED :

PVP Global Ventures Private Limited (PVP Global), Mr. Prasad V. Potluri and the Company received Orders from Adjudicating Officer dated 27 March 2015 for non-compliance of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 1997 and SEBI (Prohibition of Insider Trading) Regulations, 1992. PVP Global, Mr. Prasad V Potluri and PVP (''the appellants"") filed appeals before the Securities Appellate Tribunal (SAT) challenging the orders of Adjudicating Officer.

SAT vide order dated 20 June 2018 reduced the penalty of Rs. 1,530 Lakhs on Mr. Prasad V Potluri to Rs. 515 Lakhs and upheld the penalties of Rs. 1,500 Lakhs imposed on PVP Global and Rs.15 Lakhs on the Company. Hence, miscellaneous Applications dt. 02 July 2018 were filed before the Honourable SAT for staying its order for which the SAT granted 6 weeks'' time to appeal with Honourable Supreme Court. Also on 06 July 2018, as Security, the appellants deposited Original Title deeds of Land held by its subsidiaries for realization and payment of the aforesaid demand. Civil appeal dated 16 August 2018, was filed before the Honourable Supreme Court, which was dismissed on 14 September 2018, and the SAT Orders were upheld. A demand was raised by the Recovery Officer, SEBI, dated 26 October 2018 with Interest from, 27 March 2015, the date of order from Adjudicating Officer. The appellants filed review petitions before the Honorable SEBI/SAT, Mumbai on 10 November 2018 and 21 November 2018, stating technical and legal reasons, that the final SAT order was dated 20 June 2018, whereas the Interest was calculated since 2015 and the orders dated 27 March 2015 and 28 June 2018 are silent on levy of interest.

SEBI initiated attachment proceedings on 19 November, 2018 of the Demat Accounts and Bank accounts of the three appellants. The Company has paid penalty of Rs.15 Lakhs. However the interest of Rs. 6.45 Lakhs has been remitted under protest on 07 December 2018 and the freezing of accounts was lifted. SAT dismissed the PVP Global''s appeal on interest in April 2019. PVP Global has appealed with the Honorable Supreme Court and received Stay Order dated 12 July 2019 for payment of Interest. The appellants have written to SEBI, requesting to keep the order on record and to keep the recovery proceedings in abeyance.

Further, Adobe Realtors Private Limited, Arete Real Estate Developers Private Limited and Expressions Real Estate Private Limited subsidiaries of PVP Global, have provided land parcel as security deposit towards penalty amount against the SEBI s penalty order for Insider Trading. PVP Global has not remitted the disputed interest till date.

52 Accounting of Loans advanced to New Cyberabad City Projects Private Limited

The Company was treating the aforesaid loan as deemed investment in subsidiary and hence was carrying the same at cost until 31 March 2023. Consequent to NCCPL ceasing to be a subsidiary as highlighted above, the Company has carried the same at amortized cost as at 31 March 2024 in accordance with the requirements of Ind AS-109 - Financial Instruments. Accordingly, during the year ended 31 March 2024, the Management has carried the loan at present value by discounting the future cash flows at a rate of 8% over an estimated repayment period of 8.5 years (considering the possibility of further extension as stated above as against the balance legal tenor of 4 years).

53.2 Defined Benefit Plans

The Company operates a gratuity plan covering qualifying employees. The benefit payable is the amount calculated as per the Payment of Gratuity Act, 1972. The benefit vests upon completion of five years of continuous service and once vested it is payable to employees on retirement or on termination of employment. In case of death while in service, the gratuity is payable irrespective of vesting. The gratuity scheme of the Company is unfunded.

In respect of the above plans, the actuarial valuation of the plan assets and the present value of the defined benefit obligation were carried out as at 31 March 2024 and 31 March 2023 by an independent member firm of the Institute of Actuaries of India. The present value of the defined benefit obligation and the related current service cost and past service cost, were measured using the projected unit credit method.

(i) The estimate of future salary increase takes into account inflation, seniority, promotion and other relevant factors.

(ii) Discount rate is based on the prevailing market yields of Indian Government Bonds as at the Balance Sheet date for the estimated term of the obligation.

e) A quantitative sensitivity analysis for significant assumption is as shown below:

Significant actuarial assumptions for the determination of the defined benefit obligation are discount rate, expected salary increase and mortality. The sensitivity analysis below has been determined based on reasonably possible changes of the assumptions occurring at the end of the reporting period, while holding all other assumptions constant. The result of sensitivity analysis is given below:

(i) The sensitivity analysis presented above may not be representative of the actual change in the defined benefit obligations as it is unlikely that the change in assumptions would occur in isolation of one another as some of the assumptions may be correlated.

(ii) Furthermore, in presenting the above sensitivity analysis the present value of defined benefit obligation has been calculated using the projected unit credit method at the end of the reporting period which is the same as that applied in calculating the defined benefit obligation liability recognised in the Balance Sheet.

(iii) There is no change in the methods and assumptions used in preparing the sensitivity analysis from the prior years.

f) Effect of Plan on Entity''s Future Cash Flows i) Funding Arrangements and Funding Policy

The Company has not provided specifically any funds for the payment of the Benefits of the Plan to the employees but creates a liability every year in the books of accounts. Every year, the Company carries out a funding valuation based on the latest employee data.

54.3 Fair value measurement

The management assessed that fair value of cash and cash equivalents, trade receivables, loans, borrowings, trade payables

and other current financial assets and liabilities approximate their carrying amounts largely due to the short-term maturities

of these instruments.

The fair value of the financial assets and liabilities is included at the amount at which the instrument could be exchanged in

a current transaction between willing parties, other than in a forced or liquidation sale.

The following methods and assumptions were used to estimate the fair value / amortized cost:

(a) Long-term fixed-rate borrowings are evaluated by the Company based on parameters such as interest rates, specific country risk factors, individual losses and creditworthiness of the receivables

(b) The fair value of unquoted instruments, loans from banks and other financial liabilities, as well as other non-current financial liabilities are estimated by discounting future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities.

(c) The fair value of investment in quoted Equity Shares is measured at quoted price, and the fair value changes are routed through OCI.

(d) Fair values of the Company''s interest-bearing borrowings and loans are determined by using discounted cash flow (DCF) method using discount rate that reflects the issuer''s borrowing rate as at the end of the respective reporting period. The own non-performance risk as at 31 March 2024 and 31 March 2023 was assessed to be insignificant.

54.4 Financial Risk Management objectives and policies

The Company''s treasury function provides services to the business, co-ordinates access to financial markets, monitors and manages the financial risks relating to the operations of the Company. These risks include market risk (including interest rate risk and other price risk) and credit risk.

The Company has not offset financial assets and financial liabilities.

(i) Market risk

The Company''s activities are exposed to finance risk, interest risk & credit risk. Market risk exposures are measured using sensitivity analysis. There has been no change to the Company''s exposure to market risks or the manner in which these risks are being managed and measured.

(ii) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. Long term borrowings of the company bear fixed interest rate. Thus, interest rate risk is limited for the company.

(iii) Equity price risk

The Company''s non-listed equity securities are not susceptible to market price risk arising from uncertainties about future values of the investment securities. Hence the company does not bear significant exposure to Equity price risk in unquoted investment in subsidiaries.

(iv) Credit risk

Credit risk is the risk that the counterparty will not meet its obligation under a financial instrument or customer contract, leading to financial loss. The credit risk arises principally from its operating activities (primarily trade receivables) and from its investing activities, including deposits with banks and financial institutions and other financial instruments.

(b) Loans

This balance primarily constitute of employee advances and the Company does not expect any losses from nonperformance by these counter parties. These also includes loans provided to related parties (erstwhile subsidiaries). (Refer Note 52)

(c) Cash and cash equivalents

The Company held cash and cash equivalents with credit worthy banks and financial institutions as at the reporting dates which has been measured on the 12-month expected loss basis. The credit worthiness of such banks and financial institutions are evaluated by the management on an ongoing basis and is considered to be good with low credit risk.

(d) Other financial assets (Including other bank balances)

Other financial assets comprises of rental deposits given to lessors, lien marked bank deposits (due to mature within and after 12 months from the reporting date), interest accrued on fixed deposits and debentures. The fixed deposits are held with credit worthy banks and financial institutions. The credit worthiness of such banks and financial institutions are evaluated by the management on an ongoing basis and is considered to be good with low credit risk. This also includes sale consideration receivable from Picture House Media Limited on account of sale of NCCPL. (Refer Note 48)

(v) Liquidity risk

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The Company manages liquidity risk by maintaining adequate reserves, banking facilities and borrowing facilities, by continuously monitoring forecast and actual cash flows and by matching maturing profiles of financial assets and financial liabilities in accordance with the risk management policy of the Company. The Company invests its surplus funds in bank fixed deposits and mutual funds.

Liquidity and interest risk tables :

The following table detail the Company''s remaining contractual maturity for its non-derivative financial liabilities with agreed repayment periods. The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the Company can be required to pay. The table below represents principal and interest cash flows. To the extent that interest rates are floating, the undiscounted amount is derived from interest rate curves at the end of the reporting period. The contractual maturity is based on the earliest date on which the Company may be required to pay.

55 Other Statutory Information

a) No proceedings have been initiated or pending against the Company for holding Benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and the Rules made there under.

b) The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding 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 beneficiary

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

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

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

d) The Company has not traded or invested in crypto currency or virtual currency during the financial year.

e) The Company has not granted Loans or Advances in the nature of loan to any promoters, Directors, KMPs and the related parties (as per the Act) , which are repayable on demand or without specifying any terms or period of repayments other than the deemed investments in the subsidiaries.

f) There are no transactions with the Companies whose name are struck off under Section 248 of the Act.

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

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

i) No scheme of arrangement has been approved by the competent authority in terms of Section 230 to 237 of the Act.

j) The Company has not been declared a willful defaulter by any bank or financial institution or other lender.

k) The Company has utilised the borrowing amount taken from banks for the purpose as stated in the sanction letter.

l) The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period.

m) As per Section 128 of the Act and Rule 3 of the Companies (Accounts) Rules, 2014, the Comoany is required to have an audit trail feature as part of the accounting software being used. During the year ended 31 March 2024, The Company has used an accounting software for maintaining its books of account, which has a feature of recording audit trail (edit log) facility. However, the same has not been enabled during the year ended 31 March 2024. The Company is in discussions with the service providers w.r.t. the enabling of audit trail feature in the accounting software.

56 Foreign Exchange Management Act, 1999

The Company is in the process of assessing its compliances under the Foreign Exchange Management Act, 1999 ("FEMA Act") and in the process of filing the required documents/condonation applications as may be required with the designated authority in connection with certain transactions with foreign parties relating to issuance/transfer/change of terms of convertible debentures. The Company is confident of completing all the required formalities and obtaining the required approval/ratification from the designated authority. Further, the Company is consistently reviewing and monitoring its existing processes to ensure compliance with the provisions of FEMA Act. The Management has assessed that for the year ended 31 March 2024, the Company has no material non-compliance with the aforesaid Act and that impact of any past non-compliance, if any shall be dealt as and when it arises and such non-compliance shall not have material impact on the Financial Statements.

57 Securities Exchange Board of India (SEBI) Regulations and Companies Act, 2013

The Company is in the process of assessing its compliances under the Act and the Listing Regulations including corrective action required w.r.t. exceptions / qualifications highlighted by the secretarial auditor in their report for the year ended 31 March 2023. The Company is in the process of filing the required documents / condonation /compounding / adjudication of penalty applications as may be required with the designated authority. The Management is confident of completing all the required formalities and obtaining the required approval/ratification from the designated authority. Further, the Company is consistently reviewing and monitoring its existing processes to ensure compliance with the provisions of the Act and the Listing Regulations. The Management has assessed that for the year ended 31 March 2024, the Company has no material non-compliance with the aforesaid Act/ Regulations and that impact of any past non-compliance, if any shall be dealt as and when it arises and such non-compliance shall not have any material impact on the Financial Statements.

58 The figures of the Standalone Statement of Profit and Loss as per the financial statements is not in line with the figures reported in the results under Regulation 33 of Listing Regulations on account of recasting of numbers/ certain reclass entries. However, the same shall not have a material impact on the Financial Statements.

60 Approval of Financial Statements

In connection with the preparation of the Standalone Financial Statements for the year ended 31 March 2024, the Board of Directors have confirmed the propriety of the contracts / agreements entered into by / on behalf of the Company and the resultant revenue earned / expenses incurred arising out of the same after reviewing the levels of authorisation and the available documentary evidences and the overall control environment. Further, the Board of Directors have also reviewed the realizable value of all the current assets of the Company and have confirmed that the value of such assets in the ordinary course of business will not be less than the value at which these are recognised in the standalone financial statements. In addition, the Board has also confirmed the carrying value of the non-current assets in the Standalone Financial Statements. The Board, duly taking into account all the relevant disclosures made, has approved these Standalone Financial Statements at its meeting held on 28 May 2024. The shareholders of the Company have the rights to amend the Standalone Financial Statements in the ensuing Annual general meeting post issuance of the same by the Board of directors.

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Mar 31, 2023

2.13 Provisions

Provisions are recognised, when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the obligation. When a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows (when the effect of the time value of money is material).

2.14 Contingent liability and Contingent asset

Contingent liability is disclosed for

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

(b) Present obligations arisingfrom past events where it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation or a reliable estimate of the amount of the obligation cannot be made. When some orall of the economic benefits required to settle a provision are expected to be recovered from a third party, a receivable is recognised as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.

Contingent assets are neither recognised nordisclosed in the financial statements. However, contingent assets are assessed continually and if it is virtually certain that an inflow of economic benefits will arise, the asset and related income are recognised in the period in which the change occurs.

2.15 Taxes on Income

The income tax expense represents the sum of the tax currently payable and net change in deferred tax asset or liability during the year.

(a) Current tax

Income tax expense or credit for the period is the tax payable on the current period''s taxable income using the tax rates and tax laws that have been enacted or substantively enacted by the balance sheet date. The Company periodically evaluates positions taken in tax returns with respect to situations in which applicable tax regulation is subject to interpretation. It establishes provisions where appropriate on the basis of amounts expected to be paid to the tax authorities.

Current tax assets and current tax 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.

(b) Deferred tax

Deferred tax is the tax expected to be payable or recoverable on differences between the carryingamounts of assets and liabilities in the standalone financial statements and the correspondingtax bases used in the computation oftaxable profit, and is accounted for using the liability method. Deferred tax liabilities are generally recognised forall taxable temporary differences and deferred tax assets are recognised to the extent that it is probable that taxable profits will be available against which deductible temporary differences can be utilised. Such assets and liabilities are not recognised if the temporary difference arises from the initial recognition (other than in a business combination) ofother assets and liabilities in a transaction that affects neither the taxable profit nor the accounting profit. In addition, a deferred tax liability is not recognised if the temporary difference arises from the initial recognition of goodwill.

Deferred tax liabilities are recognised fortaxable temporary differences except where the Company is able to control the reversal of the temporary difference and it is probable that the temporary difference will not reverse in the foreseeable future. Deferred tax assets arisingfrom deductible temporary differences associated with such investment is only recognised to the extent that it is probable that there will be sufficient taxable profits against which to utilise the benefits ofthe temporary differences and theyare expected to reverse in the foreseeable future. The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised based on tax laws and rates that have been enacted or substantively enacted at the reporting date.

The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities. Deferred tax assets and liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax liabilities and when they relate to income taxes levied by the same taxation authority and the Company intends to settle its current tax assets and liabilities on a net basis.

Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which gives future economic benefits in the form of adjustment to future income tax liability, is considered as an asset ifthere is convincing evidence that the Companywill pay normal income tax. Accordingly, MAT is recognised asan asset in the balance sheet when it is highly probable that future economic benefit associated with it will flow to the Company. The carrying amount is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

(c) Current tax and deferred tax for the year:

Current and deferred taxare recognised in Statement of profit and loss, except when they relate to items that are recognised in other comprehensive income ordirectly in equity, in which case, the current and deferred tax are also recognized in other comprehensive income or directly in equity respectively.

2.16 Financial instruments

Financial assets and financial liabilities are recognized when the Company becomes a party to the contractual provisions of the instruments.

(a) Initial recognition

Financial assets and financial liabilities are initially measured at fairvalue. Transaction costs that are directly attributable to the acquisition or issue of financial assets and financial liabilities (other than financial assets and financial liabilities at fair value through profit and loss) are added to or deducted from the fair value of the financial assets or financial liabilities, as appropriate, on initial recognition. Transaction costs directly attributable to the acquisition of financial assets or financial liabilities at fair value through profit and loss are recognized immediately in the Statement of profit and loss.

(b) Subsequent measurement

(i) Financial assets

All recognized financial assets are subsequently measured in their entirety at either amortized cost or fair value, depending on the classification of the financial assets, except for investments forming part of interest in subsidiaries, which are measured at cost.

Classification of financial assets

The Company classifies its financial assets in the following measurement categories:

a) those to be measured subsequently at fair value (either through other comprehensive income, or through Statement of profit and loss), and

b) those measured at amortized cost

The classification depends on the entity''s business model for managing the financial assets and the contractual terms of the cash flows.

Amortized cost

Assets that are held for collection of contractual cash flows where those cash flows represent solely payments of principal and interest are measured at amortized cost. A gain or loss on these assets that is subsequently measured at amortized cost is recognized in Statement of profit and loss when the asset is derecognized or impaired. Interest income from these financial assets is included in finance income using the effective interest rate method.

Fair value through other comprehensive income (FVTOCI)

Assets that are held for collection of contractual cash flows and for selling the financial assets, where the assets cash flows represent solely payments of principal and interest, are measured at fair value through other comprehensive income (FVTOCI). Movements in the carrying amount are taken through OCI. When the financial asset is derecognized, the cumulative gain or loss previously recognized in OCI is reclassified from equity to Statement of profit and loss and recognized in other income / (expense).

Fair value through profit and loss (FVTPL)

Assets that do not meet the criteria foramortized cost or FVTOCI are measured at fairvalue through profitand loss. A gain or loss on these assets that is subsequently measured at fairvalue through profit and loss is recognized in the Statement of profit and loss.

Impairment of financial assets

Expected credit loss (ECL) is the difference between all contractual cash flows that are due to the Company in accordance with the contract and all the cash flows that the entity expects to receive (i.e., all cash shortfalls).

In accordance with Ind AS 109, the Company applies expected credit loss (ECL) model for measurementand recognition of impairment loss on the financialassets that are measured at amortised cost e.g., cash and bank balances, investment in equity instruments of subsidiary companies, trade receivables and loans etc.

At each reporting date, the Company assesses whetherfinancial assets carried at amortised cost is credit-impaired. A financial asset is ''credrt-impaired'' when one or more events that have detrimental impact on the estimated future cash flows of the financial assets have occurred.

Evidence that the financial asset is credit-impaired includes the following observable data:

-significant financial difficulty of the borrower or issuer;

-the breach of contract such as a default or being past due as per the ageing brackets;

-it is probable that the borrower will enter bankruptcy or other financial re-organisation; or -the disappearance of active market for a security because of financial difficulties.

The Company follows ''simplified approach'' for recognition of impairment loss allowance on Trade receivables. The application of simplified approach does not require the Company to track changes in credit risk. Rather, it recognizes impairment loss allowance based on lifetime ECLs at each reporting date, right from its initial recognition.

For recognition of impairment loss on other financial assets, the Company determines that whetherthere has been a significant increase in the credit risk since initial recognition. If credit risk has not increased significantly, 12-month ECL is used to provide for impairment loss. However, if credit risk has increased significantly, lifetime ECL is used. If, in subsequent period, credit quality ofthe instrument improves such that there is no longer a significant increase in credit risk since initial recognition, then the entity reverts to recognizing impairment loss allowance based on 12-month ECL.

Lifetime ECL are the expected credit losses resulting from all possible default events over the expected life of a financial asset. The 12-month ECL is a portion of the lifetime ECL which results from default events that are possible within 12 months after the reporting date.

ECL impairment loss allowance (or reversal) recognized during the period is recognized as expense/income in the statement of profit and loss. ECL for financial assets measured as at amortized cost and contractual revenue receivables is presented as an allowance, i.e., as an integral part ofthe measurement of those assets in the standalone financial statements. The allowance reduces the net carrying amount. Until the asset meets write-off criteria, the Company does not reduce impairment allowance from the gross carrying amount.

Write off policy

The Company writes off a financial asset when there is information indicating that the debtor is in severe financial difficulty and there is no realistic prospect of recovery. Any recoveries made are recognised in Statement of profit and loss.

ii) Financial liabilities and equity instruments:

Debt and equity instruments

Debt and equity instruments are classified as either financial liabilities or as equity in accordance with the substance of the contractual arrangement. An equity instrument is any contract that evidences a residual interest in the assets of an entity after deducting all of its liabilities. Equity instruments issued by the Company are recorded at the proceeds received, net of direct issue costs.

Classification as equity or financial liability

Equity and Debt instruments issued by the Company are classified as either financial liabilities or as equity in accordance with the substance of the contractual arrangements and the definitions of a financial liability and an equity instrument.

All financial liabilities are subsequently measured at amortized cost using the effective interest method or at FVTPL.

Equity instruments

An equity instrument is any contract that evidences a residual interest in the assets of an entity after deducting all of its liabilities. Equity instruments issued by the Company are recognized at the proceeds received, net of direct issue costs.

Financial liabilities at amortized cost

Financial liabilities that are not held-for-tradingand are not designated as at FVTPLare measured at amortized cost atthe end of subsequent accounting periods. The carryingamounts offinancial liabilities that are subsequently measured at amortized cost are determined based on the effective interest method. Interest expense that is not capitalized as part of costs of an asset is included in the ''Finance costs'' line item.

Financial liabilities at FVTPL

Liabilities that do not meet the criteria for amortized cost are measured at fairvalue through profit and loss. A gain or loss on these assets that is subsequently measured at fair value through profit and loss is recognized in the Statement of profit and loss.

(c) Derecognition

(i) Derecognition of financial assets

A financial asset is derecognized only when the Company has transferred the rights to receive cash flows from the financial asset. Where the Company has transferred an asset, it evaluates whether it has transferred substantially all risks and rewards of ownership of the financial asset. Where the Company has neithertransferred a financial asset nor retains substantially all risks and rewards of ownership ofthe financial asset, the financial asset is derecognised if the Company has not retained control of the financial asset.

If the Company enters into transactions whereby it transfers assets recognised on its balance sheet but retains either all or substantially all of the risks and rewards of the transferred assets, the transferred assets are not derecognised.

(ii) Derecognition of financial liabilities

The Company derecognizes financial liabilities when, and only when, the Company''s obligations are discharged, cancelled or have expired. The difference between the carrying amount of the financial liability derecognized and the consideration paid and payable is recognized in Statement of profit and loss.

The Company also derecognises a financial liability when its terms are modified and the cash flows under the modified terms are substantially different. In this case, a new financial liability based on the modified terms is recognised at fair value. The difference between the carrying amount of the financial liability extinguished and the new financial liability with modified terms is recognised in profit and loss.

(d) Offsetting

Financial assets and financial liabilities are offset and the net amount presented in the balance sheet when, and only when, the Company currently has a legally enforceable right to set off the amounts and it intends either to settle them on a net basis or to realise the asset and settle the liability simultaneously.

(e) Measurement of fair values

A number of the accounting policies and disclosures require measurement of fair values, for both financial and non-financial assets and liabilities.

Fair values are categorised into different levels in a fair value hierarchy based on the inputs used in the valuation techniques as follows:

-Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities.

-Level 2: inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).

-Level 3: inputs for the asset or liability that are not based on observable market data (unobservable inputs).

The Company has an established internal control framework with respect to the measurement of fair values. This includes a finance team that has overall responsibility for overseeing all significant fair value measurements, including Level 3 fair values, and reports directly to the chief financial officer.

The finance team regularly reviews significant unobservable inputs and valuation adjustments. If third party information, is used to measure fair values, then the finance team assesses the evidence obtained from the third parties to support the conclusion that these valuations meet the requirements of Ind AS, including the level in the fair value hierarchy in which the valuations should be classified.

When measuring the fairvalue of an asset or a liability, the Company uses observable market data asfaras possible. Ifthe inputs used to measure the fairvalue of an asset or a liability fall into different levels of the fair value hierarchy, then the fair value measurement is categorised in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the entire measurement.

The Company recognizes transfers between levels of the fair value hierarchy at the end of the reporting period during which the change has occurred.

Further information about the assumptions made in measuring fair values used in preparing these financial statements is included in the respective notes.

2.17 Equity Investments in Subsidiaries/Associate

Investment in subsidiaries/associate are carried at cost in the standalone financial statements in accordance withInd AS 27 Separate Financial Statements.

The Company has performed valuation for its investments in equity of certain subsidiaries for assessing whether there is any impairment in the cost. When the recoverable value of investment in subsidiaries cannot be measured based on quoted prices in active markets, their value is measured using appropriate valuation techniques.

Similar assessment is carried for exposure of the nature of loans thereon. The inputs to these models are taken from observable markets where possible, but where is not feasible, a degree of judgment is required in establishingfairvalues. Judgments include consideration of inputs such as expected earnings in future years, liquidity risk, credit risk and volatility. Changes in assumptions aboutthese factors could affect the reported fair value of these investments.

2.18 Earnings Per Share

Basic earnings per share is computed by dividing the net profit / (loss) after tax (including the post tax effect of exceptional items, if any) for the year attributable to equity shareholders by the weighted average number of equity shares outstanding during the year.

Diluted earnings pershare is computed by dividingthe profit / (loss) after tax (including the post tax effect of exceptional items, ifany) forthe yearattributable to equity shareholders as adjusted fordividend, interest and other charges to expense or income (net of any attributable taxes) relating to the dilutive potential equity shares, by the weighted average number of equity shares considered for deriving basic EPS and also weighted average number of equity shares that could have been issued upon conversion of all dilutive potential equity shares.

The number of equity shares and potentially dilutive equity shares are adjusted retrospectively forall periods presented for any share splits and bonus shares issues including for changes effected prior to the approval of the financial statements by the Board of Directors.

2.19 Segment reporting

Operating segments reflect the Company''s management structure and the way the financial information is regularly reviewed by the Company''s Chief Operating Decision Maker (CODM). The CODM considers the business from both business and product perspective based on the dominant source, nature of risks and returns and the internal organisation and management structure. The operating segments are the segments forwhich separate financial information is available and forwhich operating profit / (loss) amounts are evaluated regularly by the executive Management in deciding howto 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 to the operating activities of the segment.

Inter-segment revenue, where applicable, is accounted on the basis of transactions which are primarily determined based on market / fair value factors.

Revenue, expenses, assets and liabilities which relate to the Company as a whole and are not allocable to segments on reasonable basis have been included under unallocated revenue / expenses / assets / liabilities.

2.20 Borrowing Cost

Borrowing costs directly attributable to the acquisition, construction or production of qualifying assets, which are assets that necessarily take a substantial period oftime to get ready for their intended use or sale, are added to the cost of those assets, until such time as the assets are substantially ready for their intended use or sale.

Interest income earned on the temporary investment of specific borrowings pending their expenditure on qualifying assets is deducted from the borrowing costs eligible for capitalization.

All other borrowing costs are recognised in Statement of profit and loss in the period in which they are incurred.

Borrowing costs includes interest, amortization of ancillary costs incurred in connection with the arrangement of borrowings and exchange differences arising from foreign currency borrowings to the extent they are regarded as an adjustment to the interest cost.

2.21 Related Party Transactions

Related party transactions are accounted for based on terms and conditions of the agreement / arrangement with the respective related parties. These related party transactions are determined on an length basis and are accounted for in the year in which such transactions occur and adjustments if any, to the amounts accounted are recognised in the year of final determination.

There are common costs incurred by the entity having significant influence / Other Related Parties on behalf of various entities including the Company. The cost of such common costs are accounted to the extent debited separately by the said related parties.

2.22 Exceptional Items

Exceptional items are items of income and expenses which are of such size, nature or incidence that their separate disclosure is relevant to explain the performance of the Company.

3.1 Use of estimates and judgements

The preparation of financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, disclosures of contingent liabilities at the date of the financial statements and the reported amounts of revenue and expenses for the years presented. Actual results may differ from these estimates.

Estimates and underlying assumptions are continually evaluated. Revisions to accounting estimates are recognised in the period in which the estimates are revised and in any future periods affected.

Judgements are made in applying accounting policies that have the most significant effects on the amounts recognized in the financial statements.

Assumptions and estimation uncertainties that have a significant risk of resulting in a material adjustment are reviewed on an ongoing basis.

The areas involving critical estimates or judgments are :

a. Estimation of useful life of tangible and intangible asset. (Refer Note 2.3, 2.4)

b. Impairment of PPE and intangible assets (Refer Note 2.5)

c. Impairment of Investments (Refer Note 2.17)

d. Recognition and measurement of provisions and contingencies; key assumptions about the likelihood and magnitude of an outflow of resources. (Refer Note 2.13 and 2.14)

e. Measurement of defined benefit obligation: key actuarial assumptions.(Refer Note 2.12)

f. Estimation of income tax (current and deferred) - (Refer Note 2.15)

3.2 Recent Pronouncements

(a) Standards issued/amended but not yet effective

The Ministry of Corporate Affairs ("MCA") notifies new standard oramendments to the existing standards under Companies (Indian Accounting Standards) Rules as issued from time to time. On 31 March 2023, MCA amended the Companies (Indian Accounting Standards) Rules, 2015 by issuing the Companies (Indian Accounting Standards) Amendments Rules, 2023, applicable from 1 April 2023, as below:

(i) Ind AS 1 - Presentation of Financial Statements

The ammendments specify that Companies should now disclose material accounting policies rather than their significant accounting policies.

Accounting policy information, together with other information, is material when it can reasonably be expected to influence decisions of primary users of general purpose financial statements.

(ii) Ind AS 8 - Accounting policies, Change in Accounting Estimates and Errors Definition of change in accounting estimate has been revised.

• As per revised definition, accounting estimates are monetary amounts in the financial statements that are subject to measurement uncertainty.

• A Company develops an accounting estimate to achieve the objective set out by an accounting policy.

• Accounting estimates include:

a) Selection of a measurement technique (estimation or valuation technique)

b) Selecting the inputs to be used when applying the chosen measurement technique.

(iii) Ind AS 12 - Income Taxes

The amendments clarify how companies account for deferred tax on transactions such as leases and decommissioning obligations. The amendments narrowed the scope of the recognition exemption in paragraphs 15 and 24 of Ind AS 12 (recognition exemption) so that it no longer applies to transactions that, on initial recognition, give rise to equal taxable and deductible temporary differences.

The Company does not expect any of the aforesaid amendments to have any significant impact in its standalone financial statements.

(b) Code on Social Security

The Indian Parliament has approved the Code on Social Security, 2020 which may impact the employee benefit expenses of the Company. The effective date from which the changes are applicable is yet to be notified and the rules for quantifying the financial impact are yet to be determined. The Company will give appropriate impact in the financial statements once the code becomes effective and related rules to determine the financial impact are notified.

d) Disclosure of rights

The Company has only one class of equity shares having a par value of Rs. 10 each. Each holder is entitled to one vote per equity share. Dividends are paid in Indian Rupees. Dividend proposed by the Board of Directors, if any, is subject to the approval of the shareholders at the Annual General Meeting, except in the case of interim dividend.

In the event of liquidation of the company,the holder of the equity shares will be entitled to receive any of the remaining assets of the company in proportion to the number of equity shares held by the shareholders, after distribution of all preferential amount.

e) Aggregate number of bonus shares issued, shares issued for consideration other than cash and shares bought back during the period of five years immediately preceding the reporting date:

a) The Company has not allotted any shares without payment being received in cash.

b) The Company has not allotted paid bonus shares.

c) The Company has not bought back any shares during the aforesaid period.

III. Nature and Purpose of Reserves

a) Securities Premium:

Securities premium is used to record the premium on issue of securities. The reserve is utilised in accordance with the Section 52 of the Act.

b) Debenture Redemption Reserve

The Company has issued redeemable non-convertible listed debentures. Accordingly, the Companies (Share Capital and Debentures Rules, 2014 (as amended)), requires the Company to create Debenture Redemption Reserve (DRR) out of profits of the Company. During the financial year 2018-19, DRR amounting to Rs.150 lakhs has been created out of profits. During the year, the DRR amounting to Rs. 150 Lakhs has been transferred to General Reserve since the debentures are redeemed. (Refer note 42(a)).

c) Surplus in Statement of Profit and Loss (Including Other Comprehensive Income)

Surplus in Statement of Profit and Loss represents Company''s cumulative earnings since its formation less the dividends / Capitalisation, if any. These reserves are free reserves which can be utilised for any purpose as may be required.

d) General Reserve

The general reserve is used from time to time to transfer profits from retained earnings for appropriation purpose. The general reserve is created by transfer of one component of equity to another and is not an item of other comprehensive income.

33 Leases

a) Applicability

Effective 01 April 2019, the Company has adopted Ind AS 116 "Leases''¹ and applied the standard to all lease contracts existing on 01 April 2019 using the modified retrospective approach.

The Company, at the inception of a contract assesses whether a contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration.

In adopting Ind AS 116, the Company has applied the below practical expedients:

(i) The Company has applied a single discount rate to a portfolio of leases with reasonably similar characteristics.

(ii) The Company has treated the leases with remaining lease term of less than 12 months as if they were "short term leases".

(iii) The Company has not applied the requirements of Ind AS 116 for leases of low value assets.

(iv) The Company has excluded the initial direct costs from measurement of the right-of-use asset at the date of transition.

(a) unt of transactions disclosed above is without considering Goods and Services Tax (wherever applicable, irrespective of whether input] credit has been availed or not) as charged by/to the counter party as part of the invoice/relevant document and is gross of tax deducted at source under the Income Tax Act,1961 and accounted in the ledger of the concerned expense/transaction head.

(b) The amount of payables/receivables indicated above is after deducting Tax (wherever applicable) and after including Goods and Services Tax (wherever applicable) as charged by/to the counter party as part of the invoice/relevant document and accounted in the ledger of the concerned party.

(c) The Company accounts for costs incurred by / on behalf of the Related Parties based on the actual invoices / debit notes raised and accruals as confirmed by such related parties. These costs have been allocated/recovered from the group companies on a basis mutually agreed to with the group companies. The Related Parties have confirmed to the Management that as at 31 March 2023 and as at 31 March 2022, there are no further amounts payable to / receivable from them, other than as disclosed above.

(d) The aforesaid transactions are disclosed only from the date / upto the date, the party has become / ceases to become a related party to thel Company.

(e) Refer Note 42 for guarantees/securities provided by the Company in connection with loans availed by the Subsidiary Company.

(f) The remuneration payable to key management personnel is determined by the nomination and remuneration committee having regard to the performance of individuals and market trends.

g) Remuneration and other benefits pertain to short term employee benefits. As the gratuity is determined for all the employees in aggregate, the post-employment benefits and other long-term benefits relating to key management personnel cannot be ascertained individually.

41 Development Agreements

The Company, being the Landowner has signed a Joint Development Agreement (JDA) on 6 April 2011 with the Developer, North Town Estates Private Limited for development of land of measuring 70 Acres (approx.) (1259.90 grounds).

The Company had terminated theJoint DevelopmentAgreement (JDA) on23 March 2022. The developer has constructed an extent of34Acres of land in phases consisting ofAnanda, Brahma, Chetna, Ekantaand Gulmohar. The developer has completed the phases Viz. Ananda, Brahma, and Gulmohar in its entirety and portion of Chetna and Ekanta except 5 blocks in Chetna and 1 block in Ekanta which forms part of the terminated portion.

The Company hasentered into aJDA with Rainbow Foundations Limited on23 March 2022 fordeveloping 5blocksinChetna and 1 block in Ekanta. Rainbow Foundations Limited hasfurnished a refundable security deposit of Rs 688.89 lakhs (705.00 Lakhs as on 31 March 2022) and Rs. 2,716.11 lakhs (Nil for previousyear) as an Advance which shall be set off from the Company''s share of receivables, proportionatelyfrom every sale ofapartments as per JDA.

Inthe current year the Company sold 8 acres of Land to Casagrand Zingo Private Limited and has entered in a jointdevelopment agreement with Casagrand Builder Private Limited on 27 June 2022 for development ofadditional 12 acres of land.

Casagrand Builder Private Limited has furnished an interest free refundable security deposit of Rs. 3,000 lakhs which shall be set off in the following manner:

i) 50% of the security deposit i.e, Rs. 1,500 Lakhs shall be set off proportionately throughout the sale of units on Company''s share of land (i.e. 40%).

ii) The remanining Rs. 1,500 lakhs (50% of Rs. 3,000 Lakhs) will be adjusted against 6,900 sq.ft. of land area specifically earmarked from Company''s share of land (40% of total land) to Casagrand.

42 Terms of Loan and its repayment a) Non- Convertible Debentures

The Shareholders, in the Annual General Meeting (AGM) dated 10 September 2018, had authorised to issue 1950 listed, (rated, secured), redeemable Non-Convertible Debentures (NCDs) of Rs. 10 Lakhs each for an aggregate amount of Rs. 19,500 lakhs, outofwhich the Company has issued Tranche A386 Debentures aggregating to Rs. 3,860 lakhs and Tranche B of 829 Debentures aggregatingto Rs. 8,290 lakhswhich were, subscribed and paid upas perthe debenture trustdeed dated 16June 2017 totaling to Rs.12,150 Lakhs listed in BSE Limited. Debentures amountingto Rs. 7,350 Lakhs have remained unissued. The Company has made partial reduction in face value of Non Convertible Debenture Tranche A from Rs 10 lakhs per NCD to Rs 6.434 lakhs per NCD. The reduction in face value was intimated to National Securities Depository Limited vide letter dated 2nd February 2022. During the year ended 31March 2023, the Company has made partial reduction in face value ofNCDTrancheB from Rs. 10 lakhsto Rs. 0.68 lakhs per NCD. The reduction in face value was intimated to the National Depository Limited vide letter dated 4 July 2022.

The Company has repaid an amount of Rs.11,778.50 lakhs towards principal payments of NCD (Tranche A & B). The Company has obtained a waiver of principal of Rs.371.50 Lakhs on NCD (Tranche B) and interest accrued amounting to Rs.7,445.54 lakhs on NCD (Tranche A & B) by virtue of a One Time Settlement with its debenture holder vide a mail dated 10 August 2022 and the debentures were delisted from the BSE Limited vide BSE''s confirmation letter dated 6 March 2023. This is classified as an exceptional item (Refer note 30).

The debentures and the debenture payments were secured by:

(i) English mortgage of all the rights on piece and parcel of the land located at Door No.8/8D, Stephenson Road, Perambur, Chennai measuring 9.154 acres.

(ii) First Charge exclusive basis on all rights titles interest and benefits of the Holding Company in respect of the JDA, JDA Escrow Agreement, JDA Escrow Account and JDA Receivables excluding the outstanding security deposit.

(iii) A first ranking exclusive over security interest in debentures held by the Holding Company amounting to Rs.1,421.37 lakhs in Blaster Sports Ventures Private Limited.

(iv) Non-disposal undertaking from the Holding Company for their share in PVP Ventures.

(v) Personal Guarantee of Promoter (Mr. Prasad V Potluri).

Interest payable is 18%. The first payment is due on first year from the date of issuing debentures and thereon payable on quarterly basis.

The Company has sought extension of time to repay the outstanding (both interest and principal) on or before June 30, 2022 vide letter dated 24 May 2022.

The Company has been advised that the tax hasto be deducted at source from interest payable on debentures (payable to overseas debenture holders) only at the time of payment. Hence, no tax has been deducted at source during the year from out of interest provision made. Further,the interest written back istreated as exempt income i.e. not being offered to tax since the corresponding interest expense was disallowed under section 40(a) ofthe Income Tax Act, 1961.

Underthe circumstances,the Company defaulted the redemptionofdebenturesand repayment of interestwhich had fallendueon31March 2019 and onallduedatesfrom30 September 2019 to31 March 2022fortranchAand on all due dates from 30 April 2019 to 31 July 2022 for tranch B beyond the time permitted under section 164(2)(b) of the Act (default for more than 1 year). However, the Company belives that even though the repayment has not been made withinthe period contemplated inthe above referred section, the default hasbeen ratified bythe debenture holdervide its letterdated 24 May 2022 and subsequent waivers etc. with retrospective effect byvirtueof which the disqualification of directors as per the above provisions is not attracted.

The interest outstanding on 30June 2022, was Rs 3,807.74 lakhs. The Company has obtained a waiver ofthe interest accrued amountingto Rs. 3,807.74 lakhs on CD by virtue of a One Time Settlement from its debenture holder vide a mail dated 10 August 2022. This is classified as an exceptional item. (Refer note 30)

The Company has obtained formal letter w.r.t waiver of interest received from the existing holderof debentures vide letter dated 1 February 2023 for period ended 31 December 2022. The management believes that since the interest has been waived until 31December 2022 asperthe aforesaid letter received, the intent appearsto be waiver of relevantoutstandingdues considering the understanding/arrangement between the parties duly factoring the email received on 19 May 2023 by the Company in this regard subsequent to the year end.

There was transfer ofthe CDwith effectfrom 4November 2022.The Company believes with execution ofthe relevant documents (Form SH-4) as required under Companies'' Act, 2013 allthe rightsand obligationsofthe Company cease to exist w.r.t previous debenture holder i.e. the transferor and hence has not accrued interest amountingto Rs. 252.26 Lakhs for the period 1July 2022 to 4 November 2022 though there is no explicit confirmation w.r.t. interest for the aforesaid period.

Under the aforesaid circumstances, the Company had defaulted the repayment of interest which had fallen due on 15 December 2017,15 June 2018,15 June 2019,15 December 2019,15 June 2020,15 December 2020,15June 2021,15 December2021,15June 2022 and15 December2022 beyond thetime permitted under Section 164(2)(b) ofthe Act. However, the Company belives that eventhoughthe repayment has not been madewithinthe period contemplated inthe above referred section, thedefault has been ratified by the debenture holdervide its letter dated 24 May 2022 and subsequent waivers etc. with retrospective effect by virtue ofwhichthe disqualification of directors as per the above provisions is not attracted.

The Company has been advised that the tax hasto be deducted at source from interest payable on debentures (payable to overseas debenture holders) only at the time of payment. Hence, no tax has been deducted at source during the year from out of interest provision made. Further,the interest written back istreated as exempt income i.e. not being offered to tax since the corresponding interest expense was disallowed under section 40(a) ofthe Income Tax Act, 1961.

43 Corporate Guarantee given to Subsidiary Company

The Company had mortgaged its land situated atPerambur,Chennai,asasecurityandhad furnished corporate guarantee toa bankforthe borrowings amountingto Rs. 10,000 lakhs availed by one of its step-down subsidiary, PVP Capital Limited (PVPCL). The outstanding loan amount as per the books of accounts of PVPCL, as on 30 June 2022, including outstanding interest is Rs 24,097.52 lakhs. The loanee i.e., PVPCL, has not adhered to repayment schedule of principaland interest duestothe bank. Consequently, thebankhad filedfor recovery of its dues before the Debt RecoveryTribunal (DRT) and had also initiated recovery proceedings against theCompany under Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act, 2002).

PVPCL had applied for One Time Settlement (OTS) to the bank with respect to the outstanding due amount (including principal and interest). The OTS was accepted by the bank vide letter dated 15 March 2022. The lender bank has agreed for OTS of Rs 9,500 lakhs. PVPCL had remitted Rs. 900 lakhs before 31 March 2022 and the balance of Rs 8,600 lakhs (towards OTS approved amount) & Rs. 33.36 Lakhs (interest for delayed payment of balance OTS approved amount) was remitted by the Company on 30 June 2022, being a principal guarantor to the loan. This is classified as an exceptional item. (Refer note 30)

The Company had not created any provision forexpected credit loss inthe prioryears towardsthe aforesaid guarantee provided under the expected credit loss model prescribed underIndian Accounting Standard -109 — Financial instruments prescribed under the Rules.

44 Segment Reporting

The Company publishes these financial statements along with the consolidated financial statements. In accordance with Ind AS 108, Operating Segments, the Company has disclosed the segment information only in the consolidated financial statements.

46.3 Fair value measurement

The management assessed that fair value of cash and cash equ ivalents, trade receivables, loans, borrowings, trade payables and other current financial assets and liabilities a pproximate their carrying amou nts largely due to the short-term maturities of these instruments.

The fair value of the financial assets and liabilities is included at the amount at which the instrument could be exchanged in a current transaction between willing parties, other tha n in a forced or liquidation sale.

The following methods and assumptions were used to estimate the fa ir value / amortized cost:

(a) Long-term fixed-rate borrowings are evaluated by the Company based on parameters such as interest rates, specific country risk factors, individual losses and creditworthiness of the receivables

(b) The fair value of unquoted instruments, loans from banks and other financial liabilities, as well as other non-current financial liabilities are estimated by discounting future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities.

(c) Fair values of the Company''s interest-bearing borrowings and loans are determined by using discounted cash flow (DCF) method using discount rate that reflects the issuer''s borrowing rate as at the end of the respective reporting period. The own non-performance risk as at 31 March 2023 and 31 Ma rch 2022 was assessed to be insignificant.

50 Previous year comparatives

Previous year figures have been reclassified to conform to the current year classification/presentation.

51 Approval of Financial Statements

In connection with the preparation of the standalone fina ncial statements for the year ended 31 March 2023, the Board of Directors have confirmed the propriety of the contracts / agreements entered into by / on behalf of the Companyand the resultant revenue earned / expenses incurred arising out of the same after reviewing the levels of authorisation and the available documentary evidences and theoverall control environment. Further, the Board of Directors have also reviewed the realizable value of all the current assets of the Company and have confirmed that the value of such assets in the ordinary course of business will not be less than the value at which these are recognised in the standalone financial statements. In addition, the Board has also confirmed the carrying value of the non-current assets in the financial statements. The Board, duly taking into account all the relevant disclosures made, has a pproved these fina ncial statements at its meeting held on 23 May 2023. The shareholders of the Company have the rights to amend the Standalone Financial Statements in the ensuing Annual general meeting post issuance of the same by the Board of directors.

For and on beha lf of the Board of Directors of PVP Ventures Limited

CIN :L72300TN1991PLC20122

Prasad V. Potluri N S Kumar

Chairman and Managing Director Director

DIN:00179175 DIN:00552519

Place : Hyderabad Place : Chennai

Date : 23 May 2023 Date : 23 May 2023

Sabesan Ramani Derrin Ann George

Chief Financial Officer Company Secreta ry

ACS M. No:67004

Place : Chennai Place : Chennai

Date : 23 May 2023 Date : 23 May 2023

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Mar 31, 2018

25. NOTES TO ACCOUNTS

25.1 Joint Development Agreement

The Company, being the Landowner has signed an Joint Development Agreement (JDA) on 6th April 2011 with the Developer, North Town Estates Pvt. Ltd for development of land of approximately 70 Acres (1259.90 grounds). The company received Security deposit of Rs. 10,000 lakhs in the year 2011 for the same.

Since there were delays in execution of the "North Town" project, the Company negotiated and modified the terms and conditions of the JDA vide Amendment dated 04th May

2016 whereby the Developer released 20 acres (343.69 Grounds) undeveloped land back to the Landowner. It was agreed by the company that the proportionate Security Deposit of Rs. 3,161.13 lakhs to be paid to the developer.

Further, the company had authorize the developer to mortgage or offer as security, a share of the undivided share of land to the extent of Revenue Share of the Developer for the phases Chaitanya and Ekanta which are being developed, without causing any prejudice to the revenue share of Land Owner.

The company entered into a Development Management Agreement (DMA) with M/s. Arihant Foundations and Housing Limited on 27th April, 2017, to develop residential lay out with infrastructure and amenities for released 20 acres land.

25.2 Terms of Loans and repayment of borrowings

a) Non-Convertible Debentures - Rs. 3,860.00 Lakhs

The Company authorised to issue 1950 listed, rated, secured, redeemable non-Convertible Debentures (the NCDs) of Rs. 10 Lakhs each for an aggregate amount of Rs. 19,500 lakhs which consists of tranche A 386 Debentures aggregating to Rs. 3,860.00 lakhs and Tranche B 1,564 Debentures aggregating to Rs. 15,640.00 lakhs as per the debenture trust deed dated 16th June, 2017.

The debentures and the debenture payments are secured by:

1. English mortgage of all the rights on piece and parcel of the land at Door No. 8 and Door No. 8D located in Stephenson Road, Perambur, Chennai measuring 9.154 acres.

2. First Charge exclusive basis all rights titles interest and benefit of the company in respect of the JDA, JDA Escrow Agreement, JDA Escrow Account and JDA Receivables excluding the outstanding the security deposit.

3. A first ranking exclusive security interest over debentures held by the company amounting to Rs. 3,316.52 lakhs in Blaster Sports Ventures Private Limited.

4. Non-disposal undertaking of 100% shares of PVP Ventures Limited held by promoter group.

5. Personal Guarantee of Promoter (Mr. Prasad V Potluri). Interest payable is 18%. The first payment is due on first anniversary and their on quarterly payable. Debentures that are redeemed shall not be reissued.

If there is any delay in payment of interest/principal amount for a period of more than three months from the due date or default in payment of interest/ principal, rate of interest will be 5% p.a.

The debentures shall be redeemed at par value on the redemption date which payment will result in the principal amount of each debenture being reduced to zero.

b) Fully Convertible Debentures - Rs. 13,289.00 lakhs

The Company has allotted 13,289 convertible or redeemable debentures of Rs. 1,00,000 each convertible into preference and/or equity shares as per scheme of amalgamation sanction by Honourable the High Court of Madras between the Company and PVP Ventures Private Limited dated 25th April 2008.

The Debentures are convertible into redeemable preference shares and/or equity shares of on or before 22nd January 2011. Each Debenture shall be converted into newly issued equity or redeemable preference shares in the share capital of the Company. As per scheme of amalgamation sanction by Honourable the High Court of Madras the debentures holder are entitled to 65,14,215 fully paid up equity shares.

The Debentures holder has extended the conversion/ redemption option up to the period expiring on 31st March 2029 by letter dated 4th December 2017.

The Debentures will bear interest at the rate of 14.5% per annum. Interest on the Debentures is payable semi-annually in arrears on 15th June and 15th December in each year. Interest shall accrue on the overdue sum at the rate of [2.00] % per annum over and above the Interest Rate (the Default Interest Rate) from the due date.

One of the Debentures holder holding 3289 debentures has waived the interest from 1st April 2017 to 30th April

3) The company mortgaged perambur land as a security to loans availed by third parties with current outstanding of Rs. 2,866.02 Lakhs. The parties have not repaid the loan amounts on due dates and the lenders continue to hold the charge on the assets of the company. The management is pursuing the matter with third party borrowers and is confident that the borrowers will meet their loan obligations and accordingly the value of assets mortgaged by the company does not require any adjustment to carrying value.

25.5 Contingent Liabilities

Based on the Issues and circumstances in consideration for the below cases and based on the expert advice the Company is confident of success, hence provision for the disputed amount were not provided in the books

a. Assessment Year 2008-09: The Assessing officer passed an order after disallowing the investment received from the Holding Company as unexplained investment and the sale of land and others as unexplained receipts. The appeal filed by the company before CIT(A), Chennai was allowed in favour of the company with respect to the Investments received from the Holding Company. On the order of CIT(A),Chennai, the department has filed an appeal before Income Tax Appellate Tribunal and for the balance disallowance the company has filed a separate appeal before Income Tax Appellate Tribunal, Chennai. Hon''ble Income Tax Appellate Tribunal, Chennai has set aside the order of Assessing officer to redo the assessment with regards to appeal filed by the department. Aggrieved by the order passed by Income Tax Appellate Tribunal, Chennai, company has filed an appeal before Honorable High Court of Madras and it has admitted the case and stayed the proceeding of the order of Income Tax Appellate Tribunal and the appeal filed by the company has dismissed by Income Tax Appellate Tribunal.

Further upon the dismissal made by ITAT, Chennai, the AO has initiated penalty proceedings and issued demand notice amounting to Rs. 1276.58 lakhs, which is disputed before CIT(A), Chennai. No action against the company can be initiated by the department, since the quantum for the issues is already admitted by the Hon''ble High Court of Madras.

b. Assessment Year 2009-10: The re-assessment proceeding u/s 148 of Income tax Act 1961 was initiated on the grounds of disallowance of Interest expenditure and Depreciation on Plant and Machinery. Consequently, the order was passed with a demand of Rs. 13.24 lakhs. Aggrieved by the order the company has disputed the demand with Income Tax Appellate Tribunal, Chennai. Further the company has filed the rectification petition u/s 154 with the Assessing officer, consequent upon which, the aforesaid demand shall become Nil.

c. Assessment Year 2013-14: The Assessing Officer has passed order disallowing the notional amount on Investments under section 14A of the Income tax Act, 2018 subject to redemption of debentures before 30th April 2018. The company had redeemed the debentures on 27th April 2018. The amount of Interest waived from 1st April 2017 to March 2018 is Rs. 476.90 lakhs and the company has received extension letter from the debenture holder for repayment of interest till 30th September, 2018 on the balance debentures amounting to Rs. 10,000.00 lakhs.

As per subscription agreement the company shall not transferred or encumbered the entire shareholding in its Subsidiaries i.e Cyberabad City Projects Private Limited (Now known as New Cyberabad City Projects Private Limited) and PVP Enterprises Limited (Now known as PVP Global Ventures Private Limited).

Irrevocably and unconditionally guarantee is given by Mr. Prasad V. Potluri (Promoter) to the debenture holder in connection with the Debentures till the Shares allotted upon conversion have been irrevocably and unconditionally repaid or discharged in full.

c) From Banks - Vehicle Loans

Vehicle Loans are secured by way of Hypothecation of respective vehicles and the interest varies from 8% to 10.91% p.a and repayable in 1 to 5 years in monthly installments.

d) Loan from subsidiary company

The company has availed an interest free unsecured loan from subsidiary company which is repayable on demand.

25.3 The value of investments in subsidiaries and loans and advances to these companies net of provisions made are currently standing at Rs. 24,528.90 Lakhs (previous year Rs. 24,528.90 lakhs) and Rs. 31,499.83 Lakhs (previous year Rs. 31,476.25 lakhs) respectively. Considering the intrinsic value of the assets held by these companies and potential cash flows that may accrue on account of their business operations the management is of view that the carrying value of net investments and loans and advances does not warrant any adjustment in the long run.

25.4 Other Commitments

1) Company has given a corporate guarantee and mortgage of perambur land for Rs. 10,000.00 lakhs for its group company i.e PVP Capital Limited (PVPCL) as security for availing working capital limits from the Bank. The outstanding loan with bank by PVPCL as on 31st March 2018 is Rs. 11,911.15 lakhs (Rs. 10,120.06 lakhs as on 31st March 2017).

2) Company has given a corporate guarantee and pledged 10,00,000 equity shares of Rs. 10/- each held in Picturehouse Media Limited and with approval of developer, the company has mortgage 20 flats of Ekanta Tower-1 of North Town Project, Chennai, for availing term loan from the Bank by its subsidiary company i.e Safe trunk Services Private Limited (SSPL). The outstanding loan with bank by SSPL as on 31st March 2018 is Rs. 418.09 (31st March 2017 is Rs. 430.52 lakhs). 1961 resulting in a demand of Rs. 493.43 lakhs for the AY 2013-14. Aggrieved by the order the company has disputed the demand with CIT - Appeals, Chennai. Further the company has filed the rectification petition u/s. 154 with the Assessing officer, consequent upon which, the aforesaid demand shall become Nil.

Based on the issues and circumstances in consideration for the above cases and based on the expert advice the company is confident of success, hence no provision for the disputed amounts was provided in the books.

d. Company has received an order during the previous year from SEBI imposing a penalty of Rs. 15.00 lakhs for the PVP Ventures Ltd and further penalty of Rs. 15.00 lakhs for Prasad V Potluri as Chairman & Managing Director of the company towards alleged violation of Prohibition of Insider Trading (PIT) Regulations during 2009. The company has challenged the orders before the Securities Appellate Tribunal (SAT).

25.6 Lease Rentals

The Company has entered into operating lease agreements for office premises and an amount of Rs. 68.07 lakhs (2017: Rs. 68.97 lakhs) paid under such agreement have been charged to statement of Profit and Loss.

25.7 Micro, Small and Medium Enterprises (MSME)

The Company has not received any intimation from suppliers, regarding their status, under Micro, Small and Medium Enterprises Development Act, 2006 and hence the required disclosures such as amounts unpaid as at the yearend together with interest paid/ payable as required under the said Act have not been given.

"During the year,
the company received favorable order from Hon''ble High Court, Chennai,. Accordingly, carry forward losses has been increased.

Considering the principles of prudence, the above deferred tax asset has not been recognized as at 31.03.2018.

A quantitative sensitivity analysis for significant assumption as at 31 March 2018 is as shown below:

Sensitivity Analysis

Significant actuarial assumptions for the determination of the defined benefit obligation are discount rate, expected salary increase and mortality. The sensitivity analysis below have been determined based on reasonably possible changes of the assumptions occurring at the end of the reporting period, while holding all other assumptions constant. The result of sensitivity analysis is given below:

Compensated Absences

The employees of the Company are entitled to compensate absence. The employees can carry forward a portion of the unutilized accrued compensated absence and utilize it in future periods or receive cash compensation at retirement or termination of employment for the unutilized accrued compensated absence. The company records an obligation for compensated absences in the period in which the employee renders the services that increase this entitlement. The Company measures the expected cost of compensated absence as the additional amount that the Company expects to pay as a result of the unused entitlement that has accumulated at the balance sheet date based on the Actuarial certificate.

Defined Contribution Plan

Eligible employees receive benefits under the provident fund which is a defined contribution plan. These contributions are made to the funds administered and managed by the Government of India. The company recognized Rs. 1.24 lakhs (previous year 3.11 lakhs) for provident fund contribution in the statement of profit or loss account.

25.14 Financial Instruments

The significant accounting policies, including the criteria for recognition, the basis of measurement and the basis on which income and expenses are recognized, in respect of each class of financial asset and financial liability are disclosed.

Investment in Equity Instruments are carried at cost and hence not considered.

Management considers that the all financial instruments are carried at amortized cost and the carrying value of the company''s financial assets & liabilities is considered approximate to their fair value at each reporting date.

25.15 Financial risk management objectives and policies

The Company''s principal financial liabilities comprise loans and borrowings, trade and other payables. The main purpose of these financial liabilities is to finance and support the Company''s operations. The Company''s principal financial assets comprise investments, cash and bank balance, trade and other receivables.

The Company is exposed to various financial risks such as market risk, credit risk and liquidity risk. The company''s focus is to foresee the unpredictability of financial markets and seek to minimize potential adverse effects on its financial performance.

i) Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: interest rate risk, currency risk and other price risk, such as equity price risk. The financial instruments affected by market risk includes investment, has been discussed below.

a) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company''s exposure to the risk of changes in market interest rates relates primarily to the Company''s long-term debt obligations with fixed interest rates.

Long term borrowings of the company bear fixed interest rate, thus interest rate risk is limited for the company.

b) Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. The company does not undertake transactions denominated in foreign currencies, consequently company activities does not expose to exchange rate fluctuations arise.

c) Equity price risk

The company''s listed and non-listed equity securities are not susceptible to market price risk arising from uncertainties about future values of the investment securities. Hence the company does not bear significant exposure to Equity price risk in investment in subsidiaries.

ii) Credit risk

Credit risk is the risk that counter party will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The company is exposed to credit risk from its operating activities (primarily for trade receivables, loans and other financial assets).

Trade Receivables

The company''s credit risk with regard to trade receivables has a high degree of risk diversification, due to large number of projects of varying sizes and types with numerous different customer categories.

Customer credit risk is managed by requiring customers to pay advances through progress billings done by developer before transfer of ownership, therefore substantially eliminating the company''s credit risk in respect.

Based on prior experience and an assessment of the current economic environment, management believes there is no credit provision is required and also the company does not have any significant concentration of credit risk.

As on 31^st March, 2018, outstanding receivables amounting to Rs. 690.83 Lakhs (previous year Rs. 623.43 Lakhs).

Credit risk on cash and cash equivalents is considered to be minimal as the counter parties are all substantial banks with high credit ratings.

iii) Liquidity risk

Liquidity risk is the risk that the company may not be able to meet its present and future cash and collateral obligations without incurring unacceptable losses. The company''s management is responsible for liquidity, funding as well as settlement management. 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

25.16 Capital Management

For the purpose of the company''s capital management, capital includes issued equity capital and all other equity reserves attributable to the equity holders of the company. The company strives to safeguard its ability to continue as a going concern so that they can maximize returns for the shareholders and benefits for other stake holders. The aim is to maintain an optimal capital structure and minimize cost of capital.

The Company monitors capital using the debt-equity ratio, which is net debt divided by total equity. The Company includes within net debt, interest bearing loans and borrowings less cash and cash equivalents, Bank balance other than cash and cash equivalents.

No changes were made in the objectives, policies or processes for managing capital during the years ended 31st March 2018 and 31st March 2017.

25.17 Estimated amounts of contracts remaining to be executed on capital account and not provided for Rs. Nil (Previous Year - Rs.Nil).

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Mar 31, 2016

1. The Company is engaged in the development of Real Estate/Urban infrastructure and Interest Income. Disclosure as required by Accounting Standard 17 "Segment Reporting" issued by the Institute of Chartered Accountants of India is given below.

2. Contingent Liabilities

3. Based on the Issues and circumstances in consideration for the below cases and based on the expert advice the Company is confident of success, hence provision for the disputed amount were not provided in the books.

-AY 2007-08: While giving effect to the order of ITAT, Hyderabad, the Assessing Officer (AO) raised demand of Rs.78.21 lakhs, which was disputed with CIT - Appeals, Hyderabad, the said appeal was dismissed. Aggrieved by the Order, the company has disputed the order with ITAT, Hyderabad.

-AY 2008-09: The AO passed an order demanding a sum of Rs.16497 lakhs for the AY 2008-09. The appeal filed by company before CIT (A), Chennai was allowed in favor of the company to the extent of Rs. 15017 lakhs. On CIT(A),Chennai order the department has filed a appeal before ITAT and for the balance disallowance the company has filed a separate appeal before ITAT, Chennai . During the year ITAT, Chennai has set aside the order of AO to redo the assessment. Aggrieved by the order passed by ITAT, Chennai, company has filed appeal before Honorable High Court of Madras and it has admitted the case and stayed the proceeding of the order of ITAT. Further on the disallowance made by CIT(A) , the AO has initiated penalty proceedings and issued demand notice amounting to Rs.1276.58 lakhs , which is disputed before CIT(A), Chennai.

-AY 2008-09 AO reopened the assessment proceedings u/s148 of Income tax Act, 1961. Company disputed the re-opening proceeding before Honorable High Court of Madras. In the meantime AO passed an order with a demand of Rs.1112.35 lakhs and the said order is disputed before Honorable High Court of Madras and the appeal of the company has been allowed and quashed the re-opening proceedings.

-AY 2009-10: The re-assessment proceeding u/ 148 of Income tax Act 1961 was initiated and order passed with a demand of Rs.13.24 lakhs Aggrieved by the order the company has disputed the demand with CIT - Appeals , Chennai.

-AY 2013-14 : During the year, The Assessing Officer has passed order demanding a sum of Rs. 493.43 lakhs for the AY 2013-14. Aggrieved by the order the company has disputed the demand with CIT - Appeals, Chennai. Further the company has filed the rectification petition u/s. 154 with the Assessing officer, consequent upon which, the aforesaid demand shall become Nil.

-Company has received an order during the previous year from SEBI imposing a penalty of Rs.15.00 lakhs for the PVP Ventures Ltd and further penalty of Rs.15.00 lakhs for Prasad V Potluri as Chairman & Managing Director of the company towards alleged violation of Prohibition of Insider Trading (PIT) Regulations during 2009. The company has challenged the orders before the Securities Appellate Tribunal (SAT).

4. Company has given a corporate guarantee and mortgage of perambur land for Rs.3000.00 lakhs(Rs.3325 lakhs as of 31st March 2015) for its group company Picturehouse Media Limited(PHML) as security for availing term loan from the bank for production of films. The outstanding loan with bank by PHML as on 31st March 2016 is Rs.1518.51 lakhs. (Rs.3006.57 lakhs as of 31st March 2015)

5. Company has given a corporate guarantee and mortgage of perambur land for Rs. 10000.00 lakhs for its group company ie PVP Capital Limited(PVPCL) as security for availing working capital limits from the Bank. The company has outstanding loan with bank by PVPCL as on 31st March 2016 is Rs.10116.06 lakhs (Rs.9940.56 lakhs as on 31st March 2015.)

6. Company has given mortgage of Perambur land for Business Corporates for a consolidated sum of Rs.2000.00 lakhs with a Non-Banking Financial Company for Financial assistance to the company. The outstanding loan by these companies as of 31st March 2016 is Rs. 2300.75 lakhs.(Rs.2028.19 lakhs as on 31st March 2015.)

7. Secured loan provided to the subsidiary company ie NCCPL, has been secured by creation of charge on the property of lands with ROC along with Deposit of Title deeds in the land assets for the loan amount and some have been shown under Secured loans and advances.

8. With regard to the Investments and Loans and Advances to subsidiary companies, considering the business potential of these companies, generation of future revenues, expected development of Projects, expected cash flows and recoverability of the securities, the provisions already made have been reviewed. The Management considers that the provision made is adequate and do not foresee any diminution in carrying value as of 31st March 2016.

9. The Company has not received any intimation from suppliers, regarding their status, under Micro, Small and Medium Enterprises Development Act, 2006 and hence the required disclosures such as amounts unpaid as at the yearend together with interest paid/payable as required under the said Act have not been given.

10. The Company has not entered into any Derivative transactions during the year. There are no outstanding foreign currency exposures.

11. The Company has accumulated business losses and depreciation of earlier years. Considering the principles of prudence, the net deferred tax asset has not been recognized as at 31.03.2016.

12. The previous year’s figures have been regrouped/rearranged wherever necessary to make it comparable with the current year figures.

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Mar 31, 2015

1. Employee Benefits

The following table sets forth the status of the Gratuity Plan of the Company and the amounts recognized in the financial statements

Defined Contribution Plans

In respect of the defined contribution plans, an amount of Rs. 4.71 lakhs(2014: Rs. 3.25 lakhs) has been recognized in the Statement of Profit and Loss during the year.

2. During the year the holding company , Platex Ltd, transferred the 14.5% Fully Convertible Debentures(FCD) to M/s India Investments II pte Ltd, Singapore with the same terms and conditions. These FCD holders have a option to convert them as equity anytime before 31 March 2016. The company have paid the interest on these FCDs during the year 2014-15.

3. Non-current investments in quoted shares : The market value of long term investments in quoted equity shares of Picture House Media Ltd (PHML) as on 31.3.2015 was Rs.301.78 lakhs as against the cost of Rs.531.05 lakhs. The management have provided Rs.200 lakhs as provisions for diminution in value of quoted investments. Company have struck off Investments( Rs. 2 lakhs) and long term advances (Rs.3051 lakhs) for which necessary provisions were already made in the earlier years and no significant improvement is expected in the near future. Since the provision is already made there is no impact of the same in the current year operations.

4. The Company PVP Ventures Ltd (PVPVL) has entered into a participation agreement with Football Sports Development Ltd(FSDL) for acquiring the franchisee rights of Kerala Blaster FC. PVPVL have incorporated a Subsidiary company by name Blaster sports ventures private ltd(BSVPL) with a object of creating a SPV for the said Kerala Blaster FC. In furtherance of the objective a Novation agreement dated 19 March 2015 was entered into between Football Sports Development Ltd, Blaster Sports Ventures Private Ltd(BSVPL) and PVP Ventures Ltd (PVPVL). By virtue of the said Novation agreement all the Franchisee rights and obligations on Kerala Blasters FC was transferred and vested with BSVPL. During the year 2014-15 net impact amounting to Rs.3316.52 lakhs for operations on first season of Football league was transferred and absorbed by BSVPL and in consideration of which BSVPL issued 3,31,65,200 of Rs.10 each of 1% Compulsory Convertible Cumulative Debentures to PVPVL.

5. Non-convertible debentures(NCD) subscribed in the subsidiary company ie NCCPL , which was utilized for acquiring land by NCCPL. The company has initiated the process of converting these NCDs during 2013-14 as secured interest free loan. The charge held by Debenture trustees have been released on 16 March 2015. Based on the representation from NCCPL , company have waived the interest from 1 April till the date of conversion. To facilitate the company in getting the land securitization and generating revenues by utilizing the land in development activities, the company has created charge with ROC in the land assets for the loan amount and same have been shown under Secured loans and advances.

6. With regard to the Investments and Loans and Advances to subsidiary companies, considering the business potential of these companies, generation of revenues, expected development of Projects, cash flows expected and recoverability of the securities, the provisions already made have been reviewed. The Management considers that the provision made is adequate and do not foresee any diminution in carrying value as of 31 March 2015.

7. The Company has not received any intimation from suppliers, regarding their status, under Micro, Small and Medium Enterprises Development Act, 2006 and hence the required disclosures such as amounts unpaid as at the year end together with interest paid/payable as required under the said Act have not been given.

8. The Company has not entered into any Derivative transactions during the year. There are no outstanding foreign currency exposures.

9. The Company has accumulated business losses and depreciation of earlier years. Considering the principles of prudence, the net deferred tax asset has not been recognised as at 31.03.2015.

10. Corporate Social Responsibility(CSR)

As per section 135 of companies act 2013, the company should have spent Rs. 32.74 lakhs, towards CSR activities during the year 2014-15. Management have formed the CSR Committee and Policy in respect of the same, but could not effect payment before 31st March 2015 and the same will be expensed during the current financial year 2015-16.

11. The previous years figures have been regrouped/rearranged wherever necessary to make it comparable with the current year figures.

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Mar 31, 2013

1.1 Joint Development Agreement(JDA) for Perambur Project

During the previous year first few phases of the Perambur Project were launched received good response from the market. It continued in the current year and has progressed considerably. As per the JDA, the Company received H5200.81 lakhs (PY: H7423.12 lakhs) as its share of collections from the Project. As per the policy of the revenue recognition the company has recognized revenue for the year H4576.70 and the balance are shown as Advance received for sale of UDS.

1.2 The Company is engaged in the development of urban infrastructure, which in the context of Accounting Standard 17 "Segment Reporting" issued by the Institute of Chartered Accountants of India is considered the only segment.

1.3 Considering the brought forward losses available for set-off, Income tax provision has been made under MAT liability u/s 115JB of the Income Tax Act. As per prudent accounting policy the net deferred tax assets has not been recognized as at 31st March 2013.

1.4 Lease Rentals

The Company has entered into operating leases agreements for office premises and an amount of H26.06 lakhs (2012: H26.97 lakhs) paid under such agreement have been charged to statement of Profit & Loss.The details with regard to finance lease obligations are as under.

1.5 The Company has not received any intimation from suppliers, regarding their status, under Micro, Small and Medium Enterprises Development Act, 2006 and hence the required disclosures such as amounts unpaid as at the year end together with interest paid/payable as required under the said Act have not been given.

1.6 The Company has not entered into any Derivative transactions during the year. There are no outstanding foreign currency exposures.

1.7 Exceptional Income : During the year the company has disposed off the land at pattipulam and the same has been shown under other income as profit on sale of land. Proceeds of the sale was used to settle the secured loan held by the company. Excess of liability over settlement of loan was taken as exceptional item during the current year. Further the company has settled the legal dispute by way of compromise settlement which gave a exceptional income of H32.20 lakhs

1.8 The previous years figures have been regrouped/rearranged wherever necessary to make it comparable with the current year figures.

1.9 The Ministry of Corporate Affairs, Government of India, vide General Circular No. 2 and 3 dated February 08, 2011 and February 21, 2011 respectively has granted a general exemption from compliance with section 212 of the Companies Act, 1956, subject to fulfillment of conditions stipulated in the circular. The Company has satisfied the conditions stipulated in the circular and hence is entitled to the exemption. Necessary information relating to the subsidiaries has been included in the Consolidated Financial Statements.

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Mar 31, 2012

A) 13,409,314 equity shares of Rs. 10 each fully paid-up in cash has been issued to Platex Ltd upon conversion of 27,355 FCDs of Rs. 100,000 each at conversion price of 204 per share in terms of the Scheme of Amalgamation during 2010-11.

b) 173,759,567 equity shares of Rs. 10 each fully paid up have been issued pursuant to the Scheme of Amalgamation of PVP Ventuers Private Limited with the Company during 2007-08.

c) 32,144,940 equity shares of Rs. 10 each have been allotted to the shareholders of Buckingham Real Estate and Asset Developers Limited (BREAD), pursuant to the Scheme of Amalgamation between BREAD and the Company '

- Consequent upon merger of erstwhile PVP Ventures Private Limited with the Company, goodwill of 15,179.21 lakhs was created which represented the excess of liabilities over assets taken over on merger. In terms of the Scheme of Amalgamation and the decision of the Board, it is being written off in a phased manner over a period of 10 years beginning April 01, 2008. Accordingly, during the year, the Company has amortized goodwill of Rs. 1,517.92 lakhs.

- Secured by hypothecation of land at ECR Road, Chennai, and 4,99,999 equity shares of subsidiary company PVP Corporate Parks Private Limited and Part of the shares held by PVP Energy Private Limited has been given as collateral security and the same is guaranteed by the promoters.

- The Company has not provided for the interest for the year of Rs 336.72 lakhs on LTIF dues.

- Platex Limited has extended the conversion/redemption option of the outstanding FCDs to March 31, 2013.

- The Debentureholder had waived the interest receivable on these FCDs for the entire year. Accordingly, the Company has not recorded the interest expenditure on FCDs amounting to Rs. 1,926.91 lakhs (2011: 5,143.55 lakhs) in its books of account.

* The Company has not created any Trust for meeting the liability and not funded so far and hence no assets are available for valuation and hence there are no disclosures pertaining to plan assets.

The following tables sets forth the status of the Leave Encashment Plan of the Company and the amounts recognized in the financial statements (These NCDs are redeemable at par at any time on or before March 31, 2014)

The Company has waived interest income receivable on NCDs and accordingly it has not recorded the interest income for the year amounting to Rs. 5,463.04 lakhs (2011: 5,463.04 lakhs) in its books of account.

Considering the provisions already made for the diminution in the value of investments and considering the fact that the market value of the assets held by these entities are more than the book value, the management is of the opinion that the provisions already made are adequate.

Considering the provisions already made for the doubtful advances and considering the fact that the market value of the assets held by these entities are more than the book value, the management is of the opinion that the provisions already made are adequate.

1.1 Joint Development Agreement for Perambur Project

(a) During the year, the first few phases of Perambur Project were launched and received good response from the market.

(b) During the year, the Company received additional security deposit of Rs 3,000.00 lakhs from the Developer, taking up the total security deposit to Rs 13,000.00 lakhs. Developer adjusted Rs 836.76 lakhs in terms of the JDA and as on March 31, 2012, the outstanding security deposit is Rs 12,163.24 lakhs (PY: Rs 10,000.00 lakhs).

(c) The Company received Rs. 7,423.12 lakhs (PY: Rs 500 lakhs) as its share of collections from the Project, however, pending transfer of significant risks and rewards over the undivided share of land which coincides with registering the sale deed, the Company has shown this amount as advance for sale received from customers. Further, the Company received Rs. 227.46 lakhs (gross amount) from the Developer as interest on delayed payments, which is shown as other income for the year.

(d) The share of expenditure related to the Project to be borne by the Company till March 31, 2012 is Rs 513.71 Lakhs. Whenever the Developer adjusts the amount from the future share of collection, the same shall be accounted for in the books of the Company.

1.2 During the year, the Management classified Perambur land from inventory to fixed asset w.e.f. June 01, 2011. However, with effect from March 01, 2012, the management decided to re-classify it back to Inventory in accordance with the Accounting Standard and the expert opinion. However, there is no impact on such re-classifications on these financial statements of the Company for the year.

1.3 The Company is engaged in the development of urban infrastructure, which in the context of Accounting Standard 17 "Segment Reporting" issued by the Institute of Chartered Accountants of India is considered the only segment. Hence, the reporting under the requirements of the said standard does not arise.

1.4 Considering the brought forward losses available for set-off, there is no tax liability for this year. Further, there is no MAT liability u/s 115JB of the Income Tax Act for this year.

1.5 Lease Rentals

The Company has entered into operating leases agreements for office premises and an amount of Rs. 26.97 lakhs (2011: Rs. 28.86 lakhs) paid under such agreement have been charged to statement of Profit & Loss. The Company does not have any asset on financial lease during the year.

1.6 During the year, the Company and few of its subsidiaries had received notices from the Central Bureau of Investigation (CBI), who is investigating the alleged quid pro quo received by the various investors of M/s. Jagati Publications Limited (Jagati) from the government of Andhra Pradesh. CBI had filed a FIR against Jagati, its investors and various other entities in August 2011. PVP Business Ventures Private Limited, PVP Business Towers Private Limited and Cuboid Realtors Private Limited, wholly owned subsidiaries of the Company are among the investors of Jagati. The Company and its subsidiaries had submitted before the Hon'ble Court and the CBI that PVP Group and its companies have not received any quid pro quo benefits whatsoever from the state government of AP till date. There is no impact on the financial statements of the Company for the year due to the said investigations.

1.7 Contingent Liabilities

The following income tax demands are disputed by the Company before the appellate authorities and based on the expert advice the Company is confident of success. Hence, no amount has been provided for in the books.

AY to which Amount Pending before demand relates (in Rs. lakhs)

2008-09 164,97.15 CIT (Appeals), Chennai

2007-08 3,46.01 CIT (Appeals), Hyderabad

2007-08 4,73.30 ITAT, Hyderabad

1.8 The Company has not received any intimation from suppliers, regarding their status, under Micro, Small and Medium Enterprises Development Act, 2006 and hence the required disclosures such as amounts unpaid as at the year end together with interest paid/payable as required under the said Act have not been given.

1.9 The Company has not entered into any Derivative transactions during the year. There are no outstanding foreign currency exposures.

1.10 The financial statements for the year ended March 31, 2012 have been prepared as per revised Schedule-VI of the Companies Act, 1956. Accordingly, the previous quarters/years figures have been regrouped/rearranged wherever necessary to make it comparable with the current quarter/year.

1.11 The Ministry of Corporate Affairs, Government of India, vide General Circular No. 2 and 3 dated February 08, 2011 and February 21, 2011 respectively has granted a general exemption from compliance with section 212 of the Companies Act, 1956, subject to fulfillment of conditions stipulated in the circular. The Company has satisfied the conditions stipulated in the circular and hence is entitled to the exemption. Necessary information relating to the subsidiaries has been included in the Consolidated Financial Statements.

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Mar 31, 2011

1. The Company has not received any intimation from suppliers, regarding their status, under Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosure of any amounts unpaid as at the period end together with interest paid/payable as required under the said Act have not been given.

2. As per the independent valuation of the Perambur land at Chennai done in 2010, the estimated fair market value of the land is Rs. 69,295.00 lakhs. This land is under joint development with M/s. North Town Estates Private Limited, a consortium of Unitech Limited and Arihant Foundations and Housing Limited. The real estate market in Chennai is looking positive now and with the approvals for first few phases of the Project in place, and as per the status report of the Perambur Project given in Note 3 below, the Company has prepared these accounts on a going concern basis.

3. Status of the Perambur Project

(i) The Company in 2008 had executed a joint development agreement with M/s. North Town Estates Private Limited ("Developer"), a consortium of Unitech Limited and Arihant Foundations and Housing Limited for development of its 70 Acres of land at Perambur ("Project").

(ii) The Developer did not fulfill the terms as agreed and considering the delay in the Project due to the depressed market conditions and other aspects, the Company initiated legal proceedings against the Developer and renegotiated the contractual terms by executing an amended and restated Joint Development Agreement in April 2011. The salient features of the amended JDA are as follows:

(a) The requisite approvals for the Project have been obtained and the launches are planned in June 2011;

(b) The Developer shall develop the Project in various phases, which encompass a total development of around 8 Million square feet.

(c) The entire Project will be launched in phases by December 31, 2015.

(d) Further, the Developer shall pay an amount of Rs. 5,600 lakhs to the Company by June 30, 2011 towards its revenue shares, after adjusting Rs. 700 lakhs for the expenses met by them as per the JDA against security deposits, from the advances collected from the Project. Out of the above, the Company has received Rs. 500 lakhs in March 2011. However, pending completion of procedural formalities and transfer of title through the sale deeds to the ultimate buyers, the Company has shown the above amount as advances received.

4. The Company has investments aggregating to Rs. 49,824.10 lakhs (2010: Rs. 49,724.10 lakhs) (net of provisions) in its subsidiary and associate companies and other bodies corporate and advances (net of provisions) aggregating to Rs. 24,249.16 lakhs (2010: Rs. 19,557.95 lakhs) extended to subsidiaries and Rs. 5.17 lakhs (2010: Rs. 800.00 lakhs) to other bodies corporate. Considering the provisions already made for the diminution in the value of investments and for the doubtful advances, and considering the fact that the market value of the assets held by these entities are more than the book value, the management is of the opinion that the provisions already made are adequate.

5. Pursuant to the merger of erstwhile PVP Ventures Private Limited with the Company, goodwill of Rs. 15,179.21 lakhs, representing the excess of consideration paid over the net assets acquired had been accounted for in the books of account. As per the terms of the Scheme of Amalgamation and the decisions of the Board, the goodwill are being set off in a phased manner over a period of 10 years beginning April 01, 2008. Accordingly, during the year, the Company has amortized goodwill of Rs. 1,517.92 lakhs from the Profit & Loss Account.

6. During the year, pursuant to the conversion of 27,355 Fully Convertible Debentures of Rs. 100,000/- each (out of 40,644 Fully Convertible Debentures outstanding) by Platex Limited, the Debentureholder, the Company had allotted 1,34,09,314 Equity Shares of Rs. 10 each at a conversion price of Rs. 204 per share. Hence, the paid up share capital of the Company stands increased to Rs. 2,45,05,27,010/- divided into 24,50,52,701 equity shares of Rs. 10 each. Platex also extended the conversion/redemption option of the balance outstanding 13,289 FCDs to July 21, 2011.

7. During the year, in view of the cash flow situation of the Company, Platex Limited, the Debentureholder waived the interest receivable on the FCDs. Accordingly, the Company has not recorded the interest expenditure on debentures outstanding amounting to Rs. 5,143.55 lakhs (2010: Rs. 5,893.38 lakhs) in its books of account. Similarly, the Company has waived interest income receivable on Non Convertible Debentures held in New Cyberabad City Projects Private Limited, its wholly owned subsidiary and accordingly the Company has not recorded the interest income for the year amounting to Rs. 5,463.04 lakhs (2010: Rs. 1,0811.18 lakhs) in its books of account.

8. During the year, the Company settled its disputes with Malaxmi Energy Ventures (India) Private Limited and Mr. Y. Harish Chandra Prasad for its beneficial interests in Navabharat Power Private Limited and received Rs. 1,900 lakhs towards the settlement amount, which is shown as extra-ordinary income for the year.

9. Contingent Liabilities

(i) During the AY 2007-08, erstwhile PVP Ventures Private Limited accounted an interest income of Rs. 1,062.00 lakhs from debentures issued by its subsidiaries. However, it had corresponding interest expense to Platex and other related expenses, it showed this income as a reduction from the pre-operative expenditure as during that year, it was yet to begin operations and hence did not prepare any profit and loss account. However, the AO assessed the above income as taxable and raised a demand of Rs. 473.00 lakhs against the Company in Jan 2010. The Company has filed an appeal against this order and considering the Company's chance of success on appeal, the amount has not been provided for.

(ii) During the year, the Company has received an income tax demand notice of Rs. 18,731.00 lakhs for the AY 2008-09, mainly because the AO had treated the FCDs received from Platex Limited as income of the Company. The Company has filed rectification petition under section 154 of the Income Tax Act to reduce the demand and also filed an appeal before the CIT (Appeals). The IT department has not passed any rectification order or the appeal has not been heard so far. Considering the Company's chance of success on appeal, the amount has not been provided for.

10. Employee Benefits

As per the corporate restructuring implementation, w.e.f. July 01, 2010 all the employees of the Company were transferred to M/s. Picturehouse Media Limited (formerly known as Telephoto Entertainments Limited) on the prevailing terms and conditions of employment contracts. Hence the detailed disclosure as required under AS-15(R) is not furnished for the year.

Accordingly, during the year, the outstanding provision of Rs. 3.70 lakhs for gratuity liability and Rs. 21.07 lakhs for leave encashment liability were also transferred to M/s. Picturehouse Media Limited (formerly known as Telephoto Entertainments Limited).

Further, for the defined contribution plans, an amount of Rs. 0.55 lakhs (2010: Rs. 2.22 lakhs) has been recognized in the Profit and Loss Account during the year for the intervening period.

11. The Company is engaged in the development of urban infrastructure, which in the context of Accounting Standard 17 "Segment Reporting" issued by the Institute of Chartered Accountants of India is considered the only segment. Hence, the reporting under the requirements of the said standard does not arise.

12. The provision for income tax has been made as per the Income Tax Act, 1961 considering the brought forward losses available for set-off.

13. Lease Rentals

The Company has entered into operating leases agreements for office premises and an amount of Rs. 28.86 lakhs (2010: Rs. 279.09 lakhs) paid under such agreement have been charged to Profit & Loss Account.

14. Related Party Disclosures

(a) Names of related parties and description of relationship

Description of relationship Names of related parties

Holding Company Platex Limited (PL)

Subsidiary Company New Cyberabad City Projects Private Limited (NCCPPL)

PVP Energy Private Limited (PEL)

Maven Infraprojects Private Limited (MIL)

PVP Business Ventures Private Limited (PBV)

PVP Corporate Parks Private Limited (PCPL)

AGS Hotels and Resorts Private Limited (AGR)

Cuboid Real Estates Private Limited (CRE)

PVP Business Towers Private Limited (PBT)

Associate company Picturehouse Media Limited (PHML) (w.e.f. March 30, 2011)

(Formerly Telephoto Entertainments Limited)

PVP Screens Private Limited (PSPL) (w.e.f. March 30, 2011)

Enterprises where key management personnel exercise significant influence

Maven BPO Services Private Limited (MBSPL)

Whitecity Infrastructure (India) Private Limited (WIL)

Godavari Infracon Private Limited (GIPL)

Waltair Promoters Private Limited (WPPL)

PKP Infraprojects Private Limited (PKP)

PVP Megapolis Private Limited (PMPL) (w.e.f. 10.02.11)

Bruma Properties Private Limited (BPPL)

Shakthi Realtors Private Limited (w.e.f 22.03.11)

Key Management Personnel

Mr. Prasad V. Potluri, Chairman and Managing Director (PV)

Mr. Deepak Nagori (CFO) (upto 09.02.2011)

15. The Company's inventory comprises of 1259.90 grounds of land at Perambur, Chennai and 19 acres 8 guntas of land at Raikunta village, Shamshabad, Hyderabad, Andhra Pradesh. The book value of the inventory is Rs. 8,429.00 lakhs (Previous year Rs. 8,415.00 lakhs).

16. The Company has not entered into any Derivative transactions during the year. There are no outstanding foreign currency exposures.

17. Additional information pursuant to paragraphs 3, 4, 4A to 4D of Part II to Schedule VI to the Act, to the extent either Nil or not applicable is not furnished.

18. Previous year's figures have been regrouped/reclassified, wherever necessary, to confirm to those of the current year.

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Mar 31, 2010

1. Contingent Liabilities

a) The Company, in July 2009, had received Income Tax assessment orders and demand notice assessing it as an agent related to the interest income alleged to be accrued on the FCDs issued to Platex Limited, the Debenture Holder. The demand raised by the IT department is of Rs. 25.13 crores. The Company has filed an appeal against this order and is awaiting further developments on this matter.

b) PVP Ventures P Ltd. booked an interest income of Rs. 10.62 crores from debentures subscribed to its subsidiaries, NCCPPL and PEL, during the FY 2006- 07. However, since it had corresponding interest expense to Platex and other related expenses, it showed this income as a reduction from the Pre- operative expenditure. No P&L A/c was prepared for the FY 2006-07 and a NIL return was filed. The AO assessed the above mentioned income as taxable and raised a demand of Rs. 4.73 crores in an order passed in Jan 2010. The Company has filed an appeal against this order and hearings are awaited.

2. Investments aggregating to Rs. 49,724.10 Lakhs (2009: Rs. 79,724.05 Lakhs) (net of provisions) in its subsidiary companies and other bodies corporate and advances (net of provisions) aggregating to Rs. 19554.83 Lakhs (2009: Rs. 38,740.91 Lakhs) extended to subsidiaries and Rs. 806.36 Lakhs (2009: Rs. 1,142.12 Lakhs) to other bodies corporate. Further, as at March 31, 2010 the Company has goodwill amounting to Rs.12,144.12 Lakhs (2009: 13,662.04Lakhs) which represents the excess consideration paid by the Company overthe net assets acquired of erstwhile PVP Ventures Private Limited, under the Scheme of Amalgamation in 2008. The management is of the opinion that the value of the above mentioned investments, advances and goodwill is represented by the assets held by the respective entities.

3. The Company carried out independent valuation of its land at Perambur at Chennai in the month of January 2010, the valuer estimated the value of the land to be Rs.692.95 crores. The Company had entered into a joint development agreement for this land with a consortium of Unitech Limited and

Arihant Foundations and Housing Limited. There has been some progress in the project subsequent to the year end and the Company expects to start receiving cash flows from the year ended March 31, 2011. Considering these factors and the expected future cash flows, the Company has prepared these accounts on a going concern basis.

4. Pursuant to the merger of erstwhile PVP Ventures Private Limited with the Company, goodwill amounting to Rs. 15,179.21 Lakhs, representing the excess of consideration paid over the net assets acquired, had been accounted for in the books of account. As per the terms of the Scheme of Amalgamation, the goodwill has to be set off against the reserves of the Company in a phased manner over a period of ten years beginning April 1,2008. Accordingly, goodwill of Rs. 1517.92 Lakhs has been amortized during the year directly to Profit & Loss Account below the line.

5. During the year, in view of the distressed financial condition of the company, Platex Ltd., the Holding Company has waived the interest receivable on debentures issued to it by the Company. Accordingly, Interest expenditure amounting Rs.5893.38 Lakhs (2009: Rs 6465.43 Lakhs) forthe year ended March 31,201 0 on debentures outstanding has not been recorded in the books of account. Similarly the Company has waived interest income receivable on debentures issued to it by the two subsidiaries: PVP Energy Private Limited ("PEL") (till the date of conversion) and New Cyberabad City Projects Private Limited ("NCCPPL"). Accordingly, interest income amounting to Rs. 10811.18 Lakhs (2009: Rs. 17,365.92 Lakhs) forthe year ended March 31, 2010 has not been recorded for in the books of account of the Company.

6 Employee Benefits

The following table sets forth the status of the Gratuity Plan of the Company and the amounts recognized in the Balance Sheet and Profit and Loss Account.

Data regarding experience adjustment and estimate for next year has not been furnished by the actuary

Defined contribution plans

In respect of the defined contribution plans, an amount of Rs. 2.22 Lakhs (2009: 4.31 Lakhs) has been recognized in the Profit and Loss Account during the year.

7. The Company is engaged in the development of urban infrastructure which in the context of Accounting Standard 17 "Segment Reporting" issued by the Institute of Chartered Accountants of India is considered the only segment. Hence, the reporting under the requirements of the said standard does not arise.

8. In view of the absence of virtual certainty in future profitability of the Company, the Company has not recognized deferred tax asset on carry forward losses on the grounds of prudence.

9. Lease Rentals

The Company has entered into operating leases agreements for office premises and an amount of Rs. 279.09 Lakhs (2009:31.65 Lakhs) paid under such agreement have been charged to Rent in Schedule 13. However, the said agreements were cancelled during the year.

The lease rentals paid on HP during the year and the future lease obligations for agreements in vogue as at 31 st March, 2010 are as follows:

10. Related Party Disclosures:

(a) Names of related parties and description of relationship:

Description of relationship

Holding Company

Nomes of reloted potties

Platex Limited (PL)

Subsidiary Company

1. New Cyberabad City Projects Private Limited (NCCPPL)

2. PVP Energy Private Limited (Formerly PVP Malaxmi

Energy Ventures Private Limited) (PEL)

3. Maven Infraprojects Private Limited (MIL)

4. PVP Business Ventures Private Limited (PBV)

5. Telephoto Entertainments Limited (TEL)

6. PVP Corporate Parks Private Limited (PCPL)

7. AGS Hotels and Resorts Private Limited (AGR)

8. PVP Screens Private Ltd (PSPL)

9. Telephoto International Pte. Ltd, Singapore (TEPL)

(Struck-offw.e.f January 15,2.10)

10. Cuboid Real Estates Private Limited (CRE)

11. PVP Business Towers Private Limited (PBT)

Enterprises where key management personnel exercise significant influence

1. Maven BPO Services Private Limited (MBSPL)

2. Whitecity Infrastructure (India) Private Limited (WIL)

3. PVP IT Parks Private Limited (PVPIT)

4. Godavari Infracon Private Limited (GIPL)

5. Waltair Promoters Private Limited (WPPL

6. PKP Infraprojects Private Limited (PKP)

7. PVP Megapolis Pvt. Ltd( PVPMPL

8. Adobe Realtors Pvt.Ltd.(ARPL)

9. Arete Real Estate Developers PvtLtd.(AREDPL)

10. Axil Realtors Private Limited(AXRPL)

11. Expressions Real Estate Pvt.Ltd(EREPL)

12. Mistair Realtors Pvt.Ltd.(MRPL)

13. Bruma Properties Private Ltd (BPPL)

Key Management Personnel

Mr. Prasad V. Potluri, Chairman and Managing Director (PV)

Mr. Deepak Nagori (CFO)

11. The Companys inventory comprises of 1259.90 grounds of land at Perambur, Chennai and also 19 acres 8 guntas of land at Raikunta village, Shamshabad Mandal, Ranga Reddy District, Andhra Pradesh. The book value of the inventory is at Rs. 84.15 crores.

12. The Company has not entered into any Derivative transactions during the year. There are no outstanding foreign currency exposures.

13. Previous period figures have been regrouped/reclassified, wherever necessary, to confirm to those of the current year.