Notes to Accounts of Raja Bahadur International Ltd.

Mar 31, 2024

Terms/ rights attached to equity shares:-

Equity shares having a par value of par value Rs.100

- As to dividend

The Company has only one class of equity shares. The shareholders are entitled to receive dividend in proportion to amount of paid-up share capital held by them. The dividend proposed by the Board of Directors is subject to an approval of the shareholders in the ensuing Annual General Meeting, except in case of an interim dividend.

- As to voting

Each shareholder is entitled to vote in proportion to his share of paid up equity share capital of the Company, except in case of voting by show of hands where each shareholder present in person shall have one vote only. Voting rights cannot be exercised in respect of shares on which any call or other sums presently payable have not been paid.

- As to repayment of capital

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive any of the remaining assets of the Company after distribution of all preferential amounts. The distribution will be in proportion to paid up capital.

Details of terms of repayment and securities provided in respect of secured term loans are as under Term Loans from Financial Institutions:

a) Aditya Birla Finance Limited.(Sanctioned : 7400 lakhs) : 31 March 2024- 7226.35 Lakhs (31 March 2023- 7361.14 Lakhs)

Primary Security:

1. First and exclusive charge by way of registered mortgage of office no. 1 to 11, Store, office no. 7 on mezzanine floor, Restaurant/Fast food outlet no.1 to 7 and landscape & sit out area 1A to 7A at FP No. 100 101/1, sangamwadi, Pune -411001, with carpet area 8079.30 Sq. Mtr. owned by M/s Raja Bahadur International Limited.

2. Escrow of all present and future rental/other income from the mortgage property.

3. DSRA Equivlant to Rs. 2.45 Cr. to be invested in MF units''s lien in favour of ABFL.

4 Personal Guarantee of Mr. Shridhar Pittie.

Effective Rate of interest : 10.45% p.a.

b) Aditya Birla Finance Limited.(Sanctioned : 2000 lakhs) : 31 March 2024- 1975.50 Lakhs (31 March 2023- 1992.41 Lakhs)

Primary Security:

1. First and exclusive charge by way of registered mortgage of office no. 1 to 11, Store, office no. 7 on mezzanine floor, Restaurant no. 1 to 7 and landscape & sit out area 1A to 7A at FP No. 100 101/1, sangamwadi, Pune -411001, with carpet area 8079.30 Sq Mtr. owned by M/s Raja Bahadur international limited.

2. Escrow of all present and future rental/other income from the mortgage property. First and exclusive charge on the units leased to new lessees

3. DSRA Equivlant to Rs. 2.57 Cr. to be invested in MF units''s lien in favour of ABFL.

4 Personal Guarantee of Mr. Shridhar Pittie.

Effective Rate of interest : 10.45% p.a.

c) Tata Capital Financial Services Limited.(Sanctioned : 2300 lakhs) : 31 March 2024- Nil (31 March 2023- 1418.60 Lakhs)

Primary Security:

1. First charge by way of Mortgage of commercial tower 1 (Wing A & B) to be constructed on land admeasuring 2870.32 sq. meters. forming part of layout of larger land admeasuring 81575.11 sq. meters ,located at Final Plot No. 100 101/1, Sangamwadi, Taluka Havel, Distick ? Pune. 41100. The Proposed construction of Commercial Tower comprising of Ground Two Upper Floors to be carried out thereor having a total built_up area admeasuring 6509.30 sq. meters.

2. Escrow of all present and future rental/other income from the mortgage property.

3. ISRA shall be in the form of security deposit (non-interest bearing ) or Fixed Deposit (FD) with bank as acceptable to TCFSL duly lien marked.

4. Irrevocable and unconditional Personal Guarantee of Mr. Shridhar Pittie.

Effective Rate of interest : 13.00% p.a.

d) Tata Capital Financial Services Limited.(Sanctioned : 5500 lakhs including sub limit of 1000 lakhs as Overdraft facility) : 31 March 20244500.00 Lakhs (31 March 2023- NIL Lakhs)

Primary Security:

1. First charge by way of Hypothecation on the escrow of sales or leave and license rental receivables of the units motgaged to TCFSL; the entire receivables shall be routed through escrow account as accepted to TCFSL.

2. First and exclusive charge by way of Mortgage on property commercial units from CT 1 (Wing A & B) constructed on a portion the plot of land, located at Plot No. 100 101/1, Sangamwadi, Taluka Haveli, District Pune 411001 standing in the name of Raja Bahadur International Limited having clear and marketable title.

3. DSRA shall be in the form of security deposit (non-interest bearing ) or Fixed Deposit (FD) with bank as acceptable to TCFSL duly lien marked.

4. Irrevocable and unconditional Personal Guarantee of Mr. Shridhar Pittie.

Effective Rate of interest : 10.75% p.a.

Note: During the year Tata Capital Financial Services Limited (TCFSL) has sanctioned fresh loan of Rs. 5500 lakhs parts of the proceed was utilised to repay previous loan availed from TCFSL.

Term Loans from Bank:

a) HDFC Bank Ltd. (Sanctioned : 156.67 lakhs) : 31 March 2024 - Rs.42.46 Lakhs (31 March 2023 - Rs.68.18 Lakhs)

Primary Security Mortgage against the vehicle.

Personal Guarantee of Mr. Shridhar Pittie. ⁷⁵

Fair value estimation

Ind AS 113 requires disclosure of fair value measurements by level of the following fair value measurement hierarchy:

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

Level 2 - Inputs other than quoted prices included within level 1 that are observable for the asset or liability, either directly (that is, as prices) or indirectly (that is, derived from prices) .

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

The fair value of financial instruments traded in active markets is based on quoted market prices at the reporting date. A market is regarded as active if quoted prices are readily and regularly available from an exchange, dealer, broker, industry group, pricing service, or regulatory agency, and those prices represent actual and regularly occurring market transactions on an arm''s length basis. The quoted market price used for financial assets held by the company is the current bid price. These instruments are included in Level 1. Instruments included in Level 1 comprise of investments in mutual funds.

The fair value of financial instruments that are not traded in an active market (for example over-the-counter derivatives) is determined by using valuation techniques. These valuation techniques maximise the use of observable market data where it is available and rely as little as possible on entity specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in Level 2. Instruments included in Level 2 comprise of derivative assets taken for hedging purpose.

If one or more of the significant inputs is not based on observable market data, the instrument is included in Level 3.

(1) Contract Balances

Amounts received before the related performance obligation is satisfied are included in the balance sheet (Contract liability) as

(a) "Advances received from Customers" in note no. 21- Other Current Liabilities.

There were no significant changes in the composition of the contract liabilities during the reporting period other than on

(b) account of and revenue recognition.

Amounts previously recorded as contract liabilities increased due to further amount received during the year and decreased

(c) due to revenue recognised during the year on completion of the construction.

(d) There are no contract assets outstanding at the end of the year.

(b) Plan description : Gratuity and compensated absences plan

(i) Gratuity (Funded)

The Company makes annual contributions to the Gratuity Fund maintained by the trustees of the scheme, a funded defined benefit plan for qualifying employees. The scheme provides for lumpsum payment to vested employees at retirement, death while in employment or on termination of employment of an amount equivalent to 15 days salary payable for each completed year of service or part thereof in excess of 6 months. Vesting occurs only upon completion of 5 years of service, except in case of death or permanent disability. The present value of the defined benefit obligation and the related current service cost are measured using the projected unit credit method with actuarial valuation being carried out at balance sheet date by an independent actuary appointed by the Company.

(ii) Compensated absences (Non Funded)

The present value of the defined benefit obligation and the related current service cost are measured using the projected unit credit method with actuarial valuation being carried out at balance sheet date by an independent actuary appointed by the Company.

Note 33

Financial Risk Management Capital Management

The company''s capital management objective are

- to ensure company''s ability to continue as a going concern

- to maximise the return the capability to stakeholders through the optimization of the debt and equity balance.

Financial Risk Management Objectives

In the course of its business, the Company is exposed primarily to fluctuations in interest rates, Liquidity and credit risk which may impact the fair value of its financial instruments. The Company assesses the unpredictability of the financial environment and seeks to mitigate potential adverse effects on the financial performance of the Company.

Market Risk: Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency risk, interest rate risk and other price risk such as equity price risk and commodity price risk. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising the return.

Future specific market movements cannot be normally predicted with reasonable accuracy.

Currency Risk: The Company does not have material foreign currency transactions. The company is not exposed to risk of change in foreign currency

Interest 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 has been monitoring the same on timely basis to mitigate the risk due to interest rate changes.

Other price Risk :The Company is not exposed to equity price risks arising from equity investments. Equity investments are held for strategic rather than trading purposes. The Company does not actively trade these investments.

Credit Risk Management

Credit risk is the risk of financial loss arising from counterparty failure to repay or service debt according to the contractual terms or obligations. Credit risk encompasses of both, the direct risk of default and the risk of deterioration of creditworthiness as well as concentration of risks.

Financial instruments that are primarily subject to concentration of credit risk principally consist of receivables, investments, cash and cash equivalents and other financial assets. None of the financial instruments of the company result in material concentration of credit risk.

Liquidity Risk

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

---

Mar 31, 2023

o Provisions and Contingent liabilities

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

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

Contingent Liabilities are disclosed in respect of possible obligations that arise from past events but their existence will be confirmed by the occurrence or non occurrence of one or more uncertain future events not wholly within the control of the Group or where any present obligation cannot be measured in terms of future outflow of resources or where a reliable estimate of the obligation cannot be made.

A contingent asset is disclosed, where an inflow of economic benefits is probable. An entity shall not recognize a contingent asset unless the recovery is virtually certain. p New Accounting Standards

Ind AS 116 Leases was notified in March 2019 and it replaces Ind AS 17 Leases. Ind AS 116 is effective for annual periods beginning on or after April 1, 2019.The Company has applied Ind AS 116 ''Leases'' (Ind AS 116) with a date of initial application of April 1, 2019 using modified retrospective approach, under which the cumulative effect of initial application is recognized as at April 1, 2019. Lessor

accounting under Ind AS 116 is substantially unchanged from Ind AS 17. The Company being lessor of operating leases, there is no material impact on adption of new Ind-AS 116.

Amendments to Existing Standards, Annual Improvements and Interpretations Effective Subsequent to March 31, 2023:

Ministry of Corporate Affairs ("MCA") notifies new standard or amendments to the existing standards. There is no such notification which would have been applicable from April 1, 2023. q Additional Regualtory Information

- The title deeds of immovable property are in the name of the Company.

- No proceedings have been initiated or pending against the company for holding any Benami Property under The Benami Transactions (Prohibition) Act , 1988 and the rules made thereunder.

- The Company has not been declared as willful defaulter by any Bank, Financial Institution or any other Lender.

- The company does not have any transactions with struck off companies u/s 248 of Companies Act , 2013.

- Creation or satisfaction of charge, wherever applicable is duly recorded.

- The Company has not invested any funds or given any advance out of borrowed funds and share premium. Hence, disclosures relating to utilisaiton of borrowed funds and share premium are not applicable.

- There are no transactions not recorded in the books of account that have been surrendered or disclosed as income in the tax assessment under the Income Tax Act, 1961.

- Section 135 relating to Corporate Social Responsibility (CSR) is not applicable to the Company. Hence, disclosure of CSR are not applicable.

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

Terms/ rights attached to equity shares:-

Equity shares having a par value of par value Rs.100

- As to dividend

The Company has only one class of equity shares. The shareholders are entitled to receive dividend in proportion to amount of paid-up share capital held by them. The dividend proposed by the Board of Directors is subject to an approval of the shareholders in the ensuing Annual General Meeting, except in case of an interim dividend.

- As to voting

Each shareholder is entitled to vote in proportion to his share of paid up equity share capital of the Company, except in case of voting by show of hands where each shareholder present in person shall have one vote only. Voting rights cannot be exercised in respect of shares on which any call or other sums presently payable have not been paid.

- As to repayment of capital

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive any of the remaining assets of the Company after distribution of all preferential amounts. The distribution will be in proportion to paid up capital.

Shares held by holding/Ultimate holding company and/or their subsidiaries: The company does not have any holding Company.

Details of terms of repayment and securities provided in respect of secured term loans are as under Term Loans from Financial Institutions:

a) Aditya Birla Finance Limited.(Sanctioned : 7400 lakhs) : 31 March 2023- 7361.14 Lakhs (31 March 2022- 5514.08 Lakhs)

Primary

1. First and exclusive charge by way of registered mortgage of office no. 1 to 11, Store, office no. 7 on mezzanine floor, Restaurant no. 1 to 7 and landscape & sit out area 1A to 7A at FP No. 100 101/1, sangamwadi, Pune -411001, with carpet area 8079.30 Sq Mtr. owned by M/s Raja Bahadur international limited.

2. Escrow of all present and future rental/other income from the mortgage property.

3. DSRA Equivlant to Rs. 2.45 Cr. to be invested in MF units''s lien in favour of ABFL.

4 Personal Guarantee of Mr. Shridhar Pittie.

Effective Rate of interest : 9.70% p.a.

Note: During the year a)Aditya Birla Finance Limited (ABFL) has sanctioned fresh loan of Rs. 7400 lakhs part of the proceed was utilised to repay previous loan availed from ABFL.

b) Aditya Birla Finance Limited.(Sanctioned : 2000 lakhs) : 31 March 2023- 1992.41 Lakhs (31 March 2022- NIL Lakhs)

Primary

1. First and exclusive charge by way of registered mortgage of office no. 1 to 11, Store, office no. 7 on mezzanine floor, Restaurant no. 1 to 7 and landscape & sit out area 1A to 7A at FP No. 100 101/1, sangamwadi, Pune -411001, with carpet area 8079.30 Sq Mtr. owned by M/s Raja Bahadur international limited.

2. Escrow of all present and future rental/other income from the mortgage property. First and exclusive charge on the units leased to new lessees

3. DSRA Equivlant to Rs. 2.57 Cr. to be invested in MF units''s lien in favour of ABFL.

4 Personal Guarantee of Mr. Shridhar Pittie.

Effective Rate of interest : 10.00% p.a.

c) Tata Capital Financial Services Limited.(Sanctioned : 2300 lakhs) : 31 March 2023- 1418.60 Lakhs (31 March 2022- NIL Lakhs)

Primary

1. First charge by way of Mortgage of commercial tower 1 (Wing A & B) to be constructed on land admeasuring 2870.32 sq. meters. forming part of layout of larger land admeasuring 81575.11 sq. meters ,located at Final Plot No. 100 101/1, Sangamwadi, Taluka Havel, Distick ? Pune. 41100. The Proposed construction of Commercial Tower comprising of Ground Two Upper Floors to be carried out thereor having a total built_up area admeasuring 6509.30 sq. meters.

2. Escrow of all present and future rental/other income from the mortgage property.

3. ISRA shall be in the form of security deposit (non-interest bearing ) or Fixed Deposit (FD) with bank as acceptable to TCFSL duly lien marked. 4.Irrevocable and unconditional Personal Guarantee of Mr. Shridhar Pittie.

Effective Rate of interest : 12.75% p.a.

The fair value of financial instruments traded in active markets is based on quoted market prices at the reporting date. A market is regarded as active if quoted prices are readily and regularly available from an exchange, dealer, broker, industry group, pricing service, or regulatory agency, and those prices represent actual and regularly occurring market transactions on an arm''s length basis. The quoted market price used for financial assets held by the company is the current bid price. These instruments are included in Level 1. Instruments included in Level 1 comprise of investments in mutual funds.

The fair value of financial instruments that are not traded in an active market (for example over-the-counter derivatives) is determined by using valuation techniques. These valuation techniques maximise the use of observable market data where it is available and rely as little as possible on entity specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in Level 2. Instruments included in Level 2 comprise of derivative assets taken for hedging purpose.

If one or more of the significant inputs is not based on observable market data, the instrument is included in Level 3.

(b) Plan description : Gratuity and compensated absences plan

(i) Gratuity (Funded)

The Company makes annual contributions to the Gratuity Fund maintained by the trustees of the scheme, a funded defined benefit plan for qualifying employees. The scheme provides for lumpsum payment to vested employees at retirement, death while in employment or on termination of employment of an amount equivalent to 15 days salary payable for each completed year of service or part thereof in excess of 6 months. Vesting occurs only upon completion of 5 years of service, except in case of death or permanent disability. The present value of the defined benefit obligation and the related current service cost are measured using the projected unit credit method with actuarial valuation being carried out at balance sheet date by an independent actuary appointed by the Company.

(ii) Compensated absences (Non Funded)

The present value of the defined benefit obligation and the related current service cost are measured using the projected unit credit method with actuarial valuation being carried out at balance sheet date by an independent actuary appointed by the Company.

Note 33

Financial Risk Management Capital Management

The company''s capital management objective are

- to ensure company''s ability to continue as a going concern

- to maximise the return the capability to stakeholders through the optimization of the debt and equity balance.

Financial Risk Management Objectives

In the course of its business, the Company is exposed primarily to fluctuations in interest rates, Liquidity and credit risk which may impact the fair value of its financial instruments. The Company assesses the unpredictability of the financial environment and seeks to mitigate potential adverse effects on the financial performance of the Company.

Market Risk: Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency risk, interest rate risk and other price risk such as equity price risk and commodity price risk. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising the return.

Future specific market movements cannot be normally predicted with reasonable accuracy.

Currency Risk: The Company does not have material foreign currency transactions. The company is not exposed to risk of change in foreign currency

Interest 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 has been monitoring the same on timely basis to mitigate the risk due to interest rate changes.

Other price Risk :The Company is not exposed to equity price risks arising from equity investments. Equity investments are held for strategic rather than trading purposes. The Company does not actively trade these investments.

Credit Risk Management

Credit risk is the risk of financial loss arising from counterparty failure to repay or service debt according to the contractual terms or obligations. Credit risk encompasses of both, the direct risk of default and the risk of deterioration of creditworthiness as well as concentration of risks.

Financial instruments that are primarily subject to concentration of credit risk principally consist of receivables, investments, cash and cash equivalents and other financial assets. None of the financial instruments of the company result in material concentration of credit risk.

Liquidity Risk

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

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

RAJA BAHADUR INTERNATIONAL LIMITED

For Jain P.C. & Associates

Chartered Accountants S.N. PITTIE

Firm Registration No. 126313W Chairman & Managing Director

DIN: 00562400

Karan R Ranka N.C. MIRANI MOHAN V. TANKSALE

Partner Director Director

Membership Number: 136171 DIN: 00045197 DIN: 02971181

SANDEEP GOKHALE RANJANA KAUL

Director Director

DIN:00693885 DIN: 07122917

Place: Mumbai

Date: 30/05/2023 S.K. JHUNJHUNWALA AKASH JOSHI

_Chief Financial Officer Company Secretary_

---

Mar 31, 2018

1.1 CORPORATE INFORMATION

Raja Bahadur International Limited (“the Company”) is a public company domiciled in India and is incorporated under the provisions of the Companies Act, 1956. The registered office of the Company is located at Hamam House, 3rd Floor, Ambalal Doshi Marg, Fort, Mumbai - 400001. The Company is principally engaged in Construction and Real Estate Development.

1.2 Basis of preparation of financial statements Compliance with Ind AS

The financial statements of the Company have been prepared in accordance with Indian Accounting Standards (“Ind AS”) as notified by Ministry of Corporate affairs pursuant to section 133 of the Companies Act, 2013 read with rule 3 of the Companies (Indian Accounting Standards) Rules, 2015 and as amended thereafter until 31 March 2018.

The financial statements for the year ended 31 March 2018 are the first financial statements that the Company has prepared in accordance with Ind AS. For all periods up to and including the year ended 31 March 2017, the Company prepared its financial statements in accordance with accounting standards notified under section 133 of the Companies Act, 2013 read together with paragraph 7 of the Companies (Accounts) Rules, 2014 (“Previous GAAP”) used for its statutory reporting requirement in India immediately before applying Ind AS as mentioned above. The financial statements for the year ended 31 March 2017 and the opening balance sheet as at 1 April 2016 have been restated in accordance with Ind AS for comparative information. Detailed explanation, reconciliation and information on effect on transition from Previous GAAP to Ind AS on the Company’s balance sheet, statement of profit and loss and statement of cash flow are provided in note no 2.1.

The financial statements have been prepared on accrual and going concern basis. The accounting policies are applied consistently to all the periods presented in the financial statements including the preparation of the opening Ind AS balance sheet as at 1 April 2016 being the date oftransition to Ind AS.

Basis of Measurement

The financial statements have been prepared on a historical cost basis, except for certain financial instruments that require measurement at fair values in accordance with Ind AS.

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

All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

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

Level 2 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable.

Level 3 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable.

For assets and liabilities that are recognised in the financials statements on a recurring basis, the Company determines whether transfers have occurred between levels in the hierarchy by re-assessing categorisation(based on the lowest level input that is significant to the fair value measurement as a whole) at the end of each reporting period.

Use of Estimates

The preparation of financial statements requires the management of the company to make estimates and assumptions to be made that affect the reported amounts of assets and liabilities on the date of financial statements, disclosure of contingent liabilities as at the date of the financial statements, and the reported amounts of income and expenses during the reported period.

Although these estimates are based on the management’s best knowledge of current events and actions, uncertainty about these assumptions and estimates could result in the outcomes requiring a material adjustment to the carrying amounts of assets or liabilities in future periods. Accounting estimates could change from period to period. Any revision to accounting estimates is recognized prospectively in the current and future periods, and if material, their effects are disclosed in the financial statements. Actual results could differ from the estimates. Any difference between the actual results and estimates are recognized in the period in which the results are known/materialize.

Cash Flow Statement

The Cash Flow statement is prepared by indirect method set out in Ind AS 7- “Cash Flow Statements” and present cash flows by operating, investing and financing activities of the Company.

2.1 First time adoption of lnd AS

The Company has adopted Ind AS with effect from 01 April 2017 with comparatives being restated. Accordingly the impact oftransition has been provided in the opening reserves as at 01 April 2016 and as at 31 March 2017. This note explains the principal adjustments made by the Company on first time adoption of Ind AS.

First-time adoption - mandatory exceptions, optional exemptions

The Company has prepared the opening balance sheet as per Ind AS as of 1 April 2016 (the transition date) by recognising all assets and liabilities whose recognition is required by Ind AS, not recognising items of assets or liabilities which are not permitted by Ind AS, by reclassifying items from previous GAAP to Ind AS as required under Ind AS, and applying Ind AS in measurement of recognised assets and liabilities. However, this principle is subject to the certain exception and certain optional exemptions availed by the Company as detailed below.

Mandatory exception on first time adoption

1. Estimates

The estimates at 1 April 2016 and 31 March 2017 are consistent with those made for the same dates in accordance with previous GAAP after adjustments to reflect any differences in accounting policies.

2. De-recognition of financial assets and financial liabilities

The Company has applied the de-recognition principles of financial assets and financials liabilities prospectively for transactions occurring on or after 1 April 2016.

3. Classification and measurement of financial assets/financial liabilities

Ind AS 101 requires an entity to assess classification and measurement of financial assets on the basis of the facts and circumstances that exist at the date of transition to Ind AS. The company has availed the exemption of not applying the day one gain/loss in respect of financial assets and liability. This election has been applied consistently to all classes of financial assets and liabilities.

Exemptions availed on first time adoption of Ind AS 101

Ind AS 101 allows first-time adopters certain exemptions from the retrospective application of certain requirements under Ind AS. The Company has applied the following exemptions :

1. Business Combinations

Ind AS 103 Business Combinations has not been applied to business acquisition that occurred before April 01, 2015. Use of this exemptions means that the Previous GAAP carrying amounts of assets and liabilities that are required under Ind AS, is their deemed cost at the date of the acquisition. After the date of the acquisition, measurement is in accordance with Ind AS. Assets and liabilities that do not qualify for recognition under Ind AS are excluded from the Opening Ind AS balance sheet. The Company did not recognise or exclude any previously recognised amounts as a result of Ind AS recognition requirements.

2. Deemed Cost

The Company has elected to continue with the carrying value of all its Property, Plant and Equipment and Intangible assets recognised as of 01 April 2016 (transition date) measured as per previous GAAP and use that carrying value as its deemed cost as of the transition date.

3. Lease

The Company has applied Appendix C of Ind AS 17 Determining whether an Arrangement contains a Lease to determine whether an arrangement existing at the transition date contains a lease on the basis of facts and circumstances existing at that date.

Footnotes to the reconciliation of equity and total comprehensive income:

i. Excess depreciation charged in the previous GAAP has been reversed on during the year from the retained earnings.

ii. Deffered tax impact on the depreciation reversed on the de recognition of the asset earlier.

iii. As per the previous GAAP books there is error in recognition of gratuity liability which is adjusted under the Ind AS balance sheet.

iv. Under Previous GAAR transaction costs incurred in connection with interest bearing loans and borrowings are amortized upfront and charged to profit or loss for the period. Under Ind AS, such expenditure are considered for calculating effective interest rate. The impact for the periods up-to the date of transition is adjusted with the retained earnings and further the same has been reversed during the year.

v. The company recognises Revenue from construction contracts based on the “Percentage of Completion” method. Percentage of completion is determined based on the costs incurred in related to total costs estimated. On transition to Ind AS, revenue recognised has undergone a change due to effects of the adjustments made and further the same has been reversed during the year.

vi. Under Previous GAAR there is short provision of gratuity created which is now rectified during the current year as per the requirements ofthe Ind AS 19 based on actuarial valuation.

vii. Excess depreciation charged on the de recognised asset pertaining to the current year has been reversed.

viii. Deferred tax recognised on the above adjustments.

ix. Under the Previous GAAR the same has been recognised through profit and loss but as per the Ind AS the same has been recognised through other comprehensive Income.

x. Income tax effect for the above has been recognised.

Footnotes to the reconciliation of equity:

i. Excess depreciation charged in the previous GAAP has been reversed on transition to Ind AS.

ii. Under Previous GAAR transaction costs incurred in connection with interest bearing loans and borrowings availed for the purpose of Qualifying assets were added to the cost of inventories during the period incurred. Under Ind AS, borrowing costs are accounted using the effective interest rate method and are added to the cost of inventories over the tenure of loan.

Hi. Under Previous GAAR transaction costs incurred in connection with interest bearing loans and borrowings are amortized upfront and charged to profit or loss for the period. Under Ind AS, such expenditure are considered for calculating effective interest rate. The impact for the periods up-to the date of transition is adjusted with the retained earnings.

iv. The company recognises Revenue from construction contracts based on the “Percentage of Completion” method. Percentage of completion is determined based on the costs incurred in related to total costs estimated. On transition to Ind AS, Revenue recognised has undergone a change due to effects of the adjustments made.

v. Deferred taxes recognised on above adjustments.

2.2 Changes in Cash Flow Statement for the year ended 31 March 2017

The Ind AS adjustments are either non cash adjustments or are regrouping among the cash flows from operating, investing and financing activities. Consequently, Ind AS adoption has no impact on the net cash flow for the year ended 31st March, 2018 as compared with the previous GAAP

Terms/ rights attached to equity shares

Equity shares having a par value of par value Rs.100

- As to dividend

The Company has only one class of equity shares. The shareholders are entitled to receive dividend in proportion to amount of paid-up share capital held by them. The dividend proposed by the Board of Directors is subject to an approval of the shareholders in the ensuing Annual General Meeting, except in case of an interim dividend.

- As to voting

Each shareholder is entitled to vote in proportion to his share of paid up equity share capital of the Company, except in case of voting by show of hands where each shareholder present in person shall have one vote only. Voting rights cannot be exercised in respect of shares on which any call or other sums presently payable have not been paid.

- As to repayment of capital

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive any of the remaining assets of the Company after distribution of all preferential amounts. The distribution will be in proportion to paid up capital.

Shares held by holding/Ultimate holding company and/or their subsidaries: The company does not have any holding Company.

Note: Information related to issue of shares in last five years

i) There are no shares reserved for issue under options or contracts/commitments for the sale of shares or disinvestment as at 31 March 2018 and 31 March2017.

ii) The Company has neither allotted any shares as fully paid-up pursuant to contracts without being received in cash or by way of bonus shares nor bought back any shares for the period of five years immediately preceding 31 March 2018 or 31 March 2017.

iii) The Company do not have any securities convertible into equity or redeemable preference shares as at 31 March 2018 and 31 March 2017.

Details of terms of repayment and securities provided in respect of secured term loans are as under Term Loans from Financial Institutions:

a) DHFL project Term loan - Karadi, Pune (Sanctioned : Rs. 2500 lakhs) : 31 March 2018 - Nil (31 March 2017 - Nil ) (01 April 2016 - Rs. 257.32 lakhs)

Primary Security:

Mortgage of the project land admeasuring 42900 sq.mtrs located at Sy.No. 30/1, Kharadi, Pune, owned by Raja Bahadur International Ltd, along with present and future construction thereon.

Effective Rate of interest: 29.12% p.a.

During the Financial Year 2016-17, the term loan has been repaid.

b) L& T Housing Finance Limited. (Sanctioned : Rs.3000 lakhs) : 31 March 2018 - Nil (31 March 2017 - Nil) (01 April 2016 - Rs.1959.64 lakhs)

Primary Security:

Mortgage ofthe project land admeasuring 1,02,021.21 sq. mtrs. located at Plot No 100 101 of T.RS. Sangamwadi, Kennedy Road, Pune owned by Raja Bahadur International Ltd., along with present and future construction thereon, excluding (a) Portion of land admeasuring 7,930.93 sq. mtrs. along with construction thereon to M/s Bramha Bajaj Hotels Ltd. (b) Portion of land adm. 18,587.31 sq mtrs. sold out to M/s Sai Constructions Pvt Ltd.

Effective Rate of interest: 24.73% p.a.

During the Financial Year 2016-17, the term loan has been repaid.

Term Loans from Bank:

c) Kotak Mahindra Bank Term Loan II (Sanctioned : Rs.234 lakhs) : 31 March 2018 - Rs.234 Lakhs (31 March 2017 - Nil) (01 April 2016 -NIL)

Primary Security:

Hypothecation of receivables from Amazon Transportation Services Pvt. Ltd and Ola Fleets Technologies Pvt Ltd.

Collateral Security:

Flat No. 501, Anand Colony, Prabhat Road, Pune - 411004 in the name of Raja Bahadur International Limited.

Effective Rate of Interest: 9.87% p.a.

d) Kotak Mahindra BankTerm Loan III (Sanctioned : Rs.203 lakhs) : 31 March 2018 -Rs.203 Lakhs (31 March 2017 - Nil) (01 April 2016

- NIL)

Primary Security:

Hypothecation of receivables from Amazon Transportation Services Pvt. Ltd and Ola Fleets Technologies Pvt Ltd.

Collateral Security:

Flat No. 501, Anand Colony, Prabhat Road, Pune - 411004 in the name of Raja Bahadur International Limited.

Effective Rate of Interest: 10.15% p.a.

e) Kotak Mahindra Prime Ltd (Sanctioned : Rs.24 lakhs) : 31 March 2018 -Rs.20.21 Lakhs (31 March 2017 - Nil) (01 April 2016 -Rs.6.27 Lakhs)

Primary Security:

Mortage against the vehicle Revolving Credit Facility

a) Anand Rathi Global Finance Ltd (Sanctioned : Rs.2800 lakhs) : 31 March 2018 - Rs. 2447.22 Lakhs (31 March 2017 - Rs. 2613.76 Lakhs) (01 April 2016 - NIL)

Primary Security:

Revolving Credit Facility is secured by exclusive charge by way of registered mortgage of the project land admeasuring 39,392.45 sq. mtrs., located at S. No. 30/1, Kharadi, Pune, along with the present & future construction thereon and hypothecation of receivables.

Effective Rate of interest: 21% p.a.

Note : The Company has provided personal guarantee of Mr. Shridhar Pittie, Managing Director of the Company for all the above mentioned borrowings.

Fair value estimation

lndAS113 requires disclosure of fair value measurements by level of the following fair value measurement hierarchy:

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

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

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

The following table presents the Company’s assets and liabilities that are measured at fair value as at:

The fair value of financial instruments traded in active markets is based on quoted market prices at the reporting date. A market is regarded as active if quoted prices are readily and regularly available from an exchange, dealer, broker, industry group, pricing service, or regulatory agency, and those prices represent actual and regularly occurring market transactions on an arm’s length basis. The quoted market price used for financial assets held by the company is the current bid price. These instruments are included in Level 1. instruments included in Level 1 comprise of investments in mutual funds.

The fair value of financial instruments that are not traded in an active market (for example over-the-counter derivatives) is determined by using valuation techniques. These valuation techniques maximise the use of observable market data where it is available and rely as little as possible on entity specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in Level 2. instruments included in Level 2 comprise of derivative assets taken for hedging purpose.

If one or more of the significant inputs is not based on observable market data, the instrument is included in Level 3.

Note 3

Details of employee benefits as required by the Ind AS19 “Employee Benefits” as given below

(a) Employee benefits expense include contribution towards defined contribution plans as follow :

(b) Plan description : Gratuity and compensated absences plan

(i) Gratuity (Funded)

The Company makes annual contributions to the Gratuity Fund maintained by the trustees of the scheme, a funded defined benefit plan for qualifying employees. The scheme provides for lumpsum payment to vested employees at retirement, death while in employment or on termination of employment of an amount equivalent to 15 days salary payable for each completed year of service or part thereof in excess of 6 months. Vesting occurs only upon completion of 5 years of service, except in case of death or permanent disability. The present value of the defined benefit obligation and the related current service cost are measured using the projected unit credit method with actuarial valuation being carried out at balance sheet date by an independent actuary appointed by the Company.

(ii) Compensated absences (Non Funded)

The present value of the defined benefit obligation and the related current service cost are measured using the projected unit credit method with actuarial valuation being carried out at balance sheet date by an independent actuary appointed by the Company.

(c) Break down of plan assets : Gratuity

Note 4

Financial Risk Management Capital Management

The company’s capital management objective are :

- to ensure company’s ability to continue as a going concern.

- to maximise the return the capability to stakeholders through the optimization of the debt and equity balance.

Financial Risk Management Objectives

In the course of its business, the Company is exposed primarily to fluctuations in interest rates, Liquidity and credit risk which may impact the fair value of its financial instruments. The Company assesses the unpredictability of the financial environment and seeks to mitigate potential adverse effects on the financial performance of the Company.

Market Risk : Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency risk, interest rate risk and other price risk such as equity price risk and commodity price risk. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising the return.

Future specific market movements cannot be normally predicted with reasonable accuracy.

Currency Risk : The Company does not have material foreign currency transactions. The company is not exposed to risk of change in foreign currency

Interest 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 has been monitoring the same on timely basis to mitigate the risk due to interest rate changes.

Other Price Risk : The Company is not exposed to equity price risks arising from equity investments. Equity investments are held for strategic rather than trading purposes. The Company does not actively trade these investments.

Credit Risk Management

Credit risk is the risk of financial loss arising from counter party failure to repay or service debt according to the contractual terms or obligations. Credit risk encompasses of both, the direct risk of default and the risk of deterioration of creditworthiness as well as concentration of risks. Financial instruments that are primarily subject to concentration of credit risk principally consist of receivables, investments, cash and cash equivalents and other financial assets. None of the financial instruments of the company result in material concentration of credit risk.

Liquidity Risk

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

Note 5

I. NAMES OF RELATED PARTIES AND DESCRIPTION OF RELATIONSHIP

A. Key Management Personnel

1 Shri S. N. Pittie

2 Shri S. K. Jhunjhunwala

3 Shri Rohit N. Taparia

B. Where Control exists subisidary company

1 Raja Bahadurs Realty Limited

C. Where KMP exercise significant influence

1 Mukundlal Bansilal & Sons Private Limited

D. Relatives/Close Members of the family of key Management Personnel(with whom the Company had transactions)

1 Shri Manoharlal M. Pittie

2 Shri Umang S. Pittie

3 Shri Vaibhav S. Pittie

4 Smt. Malvika S. Pittie

The amounts disclosed in the table are the amounts recognised as an expense during the reporting period related to Key Managerial Personnel.

*As the liabilities for the gratuity are provided on an actuarial basis, and calculated for the Company as a whole rather than each of the individual employees, the said liabilities pertaining specifically to KMP are not known and hence, not included in the above table.

---

Mar 31, 2015

Additional information to the Financial Statements

1) The plan for developing the construction project was approved by Pune Municipal Corporation on 14.07.2011. All cost directly related to the approved construction project and other expenditure identifiable as related to the construction & real estate development are booked as inventory on a reasonable basis by management as per supporting documents and assumptions where necessary.

2) Remuneration to Managing Director has been paid as Minimum Stipulated Remuneration under Schedule V of the Companies Act 2013 read with section 197 of the Act. Estimated value of perquisites provided to the Managing Director is RS.18,63,176/- (previous year RS.5,13,660/-). Total remuneration to Managing Director including perquisites is RS.51,66,509/-(previous year RS.29,13,660/-).

3) The Company is in the process of identifying the status of suppliers under the Micro, Small and Medium Enterprises Development Act, 2006, and hence, the particulars regarding the same are not furnished.

4) Pursuant to the implementation of Schedule II to the Companies Act, 2013, the Company has revised the useful life of its fixed assets. The depreciation charge during the year pertaining to assets whose revised useful life has expired prior to commencement of the financial year has been adjusted against retained earnings in terms of Schedule II.

An amount of RS.0.13 Lac has been adjusted against the opening surplus which is net of deferred tax of RS.0.08 Lac.

5) Key Managerial Personnel - Shri S. N. Pittie

Shri S. K. Jhunjhunwala

Relatives with whom transaction have Shri Umang S. Pittie taken place during the year - Shri Vaibhav S. Pittie

Pittie Electronics Pvt. Ltd. U. V. International Khimji Visram & Sons

---

Mar 31, 2013

I) The Company has transferred capital work in progress of Rs.Nil (previous year Rs. 59,29,471/-) and land of Rs.Nil (previous year Rs. 16,154/-) to inventory as per the Board resolution of 14th August, 2012. The plan for developing the construction project was approved by Pune Municipal Corporation on 14.07.2011. All cost directly related to the approved construction project and other expenditure identifiable as related to the property development are booked as Realty inventory on a reasonable basis by management as per supporting documents and assumptions where necessary.

II) Remuneration to Managing Director has been paid as Minimum Stipulated Remuneration under Schedule XIII of the Companies Act 1956 read with section 98 of the Act. Estimated value of perquisites provided to the Managing Director isRs.5,75,768/- (previous yearRs.5,58,396/-). Total remuneration to Managing Director including perquisites is Rs. 29,75,768/-(previous year Rs. 29,58,396/-).

III) The Company has called for confirmations of balances from Debtors and Creditors.

IV) The balances of accounts payable and liabilities for expenses are subject to confirmations to be received from parties.

V) The Company is in the process of identifying the status of suppliers under the Micro, Small and Medium Enterprises Development Act, 2006, and hence, the particulars regarding the same are not furnished.

VI) Employee Benefit

Gratuity is payable to all eligible employees in terms of the provisions of the payment of Gratuity Act. Liability for gratuity is actuarially determined at the Balance Sheet date.

VII) Capital commitment

Estimated amount of contracts remaining to be executed on capital account and not provided for is Rs. Nil lacs (previous year Rs.21.50 lacs)

---

Mar 31, 2012

1.1 Term loan from institution are secured by mortgage of the project land admeasuring 42,900 sq. mtrs., located at S. No. 30/1, Kharadi, Pune, along with the present & future construction thereon and hypothecation of receivables and personal guarantee of one Director of the Company.

1.2 The repayment of loan amount will commence after completion of 36 months from the date of 1st disbursement.

2.1 Construction equipment loan from bank secured by hypothecatiion of construction equipments and personal guarantee of one Director.

2.2 Tenure of loan is 36 months. Rs - 33.20 Lacs repayable within one year considered in current liabilities.

3.1 Vehicle loan from bank secured by hypothecation of vehicles.

3.2 Tenure of loan is 60 months. Rs - 15.02 Lacs repayable within one year considered in current liabilities.

4.1 Vehicle loan from institution secured by hypothecation of vehicles.

4.2 Tenure of loan is 48 months. Rs - 2.83 Lacs repayable within one year considered in current liabilities.

NOTE 5 Additional information to the Financial Statements

I) The Company has transferred capital work in progress of Rs - 59,29,471/- and land of Rs - 16,154/- to inventory as per the Board resolution of 14th August, 2012. The plan for developing the construction project was approved by Pune Municipal Corporation on 14.07.2011. All cost directly related to the approved construction project and other expenditure identifiable as related to the property development are booked as Realty inventory on a reasonable basis by management as per supporting documents and assumptions where necessary.

II) Remuneration to Managing Director has been paid as Minimum Stipulated Remuneration under Schedule XIII of the Companies Act 1956 read with section 98 of the Act. Estimated value of perquisites provided to the Managing Director is Rs - 5,58,396/- (previous year Rs -5,14,473/-). Total remuneration to Managing Director including perquisites is Rs - 29,58,396/-(previous year Rs - 29,14,473/-).

III) Provision for Current taxation Nil (previous year Rs - 51.10 lacs) is made on the basis of a legal opinion obtained by the Management.

IV) The Company has called for confirmations of balances from Debtors and Creditors.

V) The balances of Receivables, Accounts Payable and liabilities for expenses are subject to reconciliation with the confirmations received from parties.

VI) The Company is in the process of identifying the status of suppliers under the Micro, Small and Medium Enterprises Development Act, 2006, and hence, the particulars regarding the same are not furnished.

VII) Employee Benefit

Gratuity is payable to all eligible employees in terms of the provisions of the payment of Gratuity Act. Liability for gratuity is actuarially determined at the Balance Sheet date.

VIII) Capital commitment

Estimated amount of contracts remaining to be executed on capital account and not provided for is Rs - 21.50 lacs (previous Nil)

IX) Contingent Liabilities

Liabilities on account of damages claimed (consent terms arrived) Nil (previous year Rs - 14877 lacs)

---

Mar 31, 2011

1) Previous year's figures have been regrouped / recast wherever necessary so as to make them comparable with those of the current year.

2) In the opinion of the Board, the Current Assets, Loans and Advances are approximately of the value stated, if realized in the ordinary course of business, and provisions for all known liabilities and depreciation is adequate and not in excess of amounts reasonably necessary.

3) The Company has sold off its wind power generation business during the year.

a) The provision for tax for the current year Rs. 51,10,000 has been calculated by the management by considering this sale as "Slump Sale" as per Income tax Act, 1961. This has been done by the Management based on a legal opinion obtained by them for this purpose.

b) Disclosure under Accounting Standard -24 (Discontinuing Operations)- The entire wind power undertaking of the company has been sold pursuant to resolution passed by Members on 10- 11-2010 u/s 293(1 )(a) of the Companies Act, 1956 through postal ballot .

4. Remuneration to Managing Directors has been paid as Minimum Stipulated Remuneration under Schedule XIII of the Companies Act, 1956 read with section 198 of the act. Estimated value of perquisites provided to the Managing Director is Rs.5,14,473 (Previous Year Rs.5,39,369). Total remuneration to Managing Director including perquisite is Rs 29,14,473 (Previous year 29,39,369)

5) The Company has called for confirmations of balances from Debtors and Creditors.

6) The balances of Receivables, Accounts Payable and liabilities for expenses are subject to reconciliation with the confirmations received from parties.

7) Investments have not been physically verified.

8) The Company is in the process of identifying the status of suppliers under the Micro, Small and Medium Enterprises Development Act, 2006, and hence, the particulars regarding the same are not furnished.

9. Sai Construction Pvt. Ltd. has filed a suit against the Company and its Directors claiming damages of Rs. 148.77 Crores (Previous Year Rs. 148.77 Crores). The cause of the action pleaded in the said suit is that the company has procured orders from the Honorable High Court maliciously. They also took out an application for attachment before judgement of the properties of the Company and of its three Directors in the said Civil Suit. This application was dismissed by the Civil Court and their appeal in the Bombay High Court also came to be dismissed. The Company is confident that the outcome of the suit for damages would not be adverse to its interest and as the matter is subjudice the Management has not made any provisions for the same in the accounts.

10. Key Management Personnel - Shri N. M. Pittie Shri M. M. Pittie Shri S. N. Pittie

---

Mar 31, 2010

1) Previous years figures have been regrouped / recast wherever necessary so as to make them comparable with those of the current year. Rupee amounts have been rounded off to Lakhs of Rupees for convenient presentation.

2) In the opinion of the Board, the Current Assets, Loans and Advances are approximately of the value stated, if realized in the ordinary course of business, and provisions for all known liabilities and depreciation is adequate and not in excess of amounts reasonably necessary.

3) The Company has not made a provision for the diminution in the value of its long term investments, as the management considers the decline in the value to be temporary in nature.

4) Sale proceeds of certain fixed assets of an erstwhile division, that are written off in the books and / or are held for disposal, will be accounted for as and when received.

5) Estimated value of perquisites provided to the Managing Director is Rs.5,39,369 (Previous Year Rs.5,16,696).

6) The Company has called for confirmations of balances from Debtors and Creditors.

7) The balances of Receivables, Accounts Payable and liabilities for expenses are subject to reconciliation with the confirmations received from parties.

8) Investments have not been physically verified.

9) The Company is in the process of identifying the status of suppliers under the Micro, Small and Medium Enterprises Development Act, 2006, and hence, the particulars regarding the same are not furnished.

10. Sai Construction Pvt. Ltd. has filed a suit against the Company and its Directors claiming damages of Rs.148.77 Crores (Previous Year Rs. 148.77 Crores). The cause of the action pleaded in the said suit is that the company has procured orders from the Honorable High Court maliciously. They also took out an application for attachment before judgement of the properties of the Company and of its three Directors in the said Civil Suit. This application was dismissed by the Civil Court and their appeal in the Bombay High Court also came to be dismissed. The Company is confident that the outcome of the suit for damages would not be adverse to its interest and as the matter is subjudice the Management has not made any provisions for the same in the accounts.