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A Oneindia Venture

Nifty 25,966.40 +0.58%

22k Gold ₹ 12,300 /gm

Sensex 84,929.36 +0.53%

Nifty 25,966.40 +0.58%

22k Gold ₹ 12,300 /gm

Sensex 84,929.36 +0.53%

Nifty 25,966.40 +0.58%

22k Gold ₹ 12,300 /gm

Notes to Accounts of Rama Steel Tubes Ltd.

Mar 31, 2025

(xxvi) Provisions

a) Provisions

Provisions (excluding employee benefits) 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. if the effect
of the time value of money is material, provisions
are discounted using equivalent period government
securities interest rate. unwinding of the discount is
recognised in the statement of Profit and Loss as a
finance cost. Provisions are reviewed at each balance
sheet date and are adjusted to reflect the current best
estimate.

b) Contingencies

Contingent liabilities are disclosed when there
is a possible obligation arising from past events,
the existence of which will be confirmed only by
the occurrence or non-occurrence of one or more
uncertain future events not wholly within the control
of the Company or a present obligation that arises
from past events where it is either not probable that
an outflow of resources will be required to settle or
a reliable estimate of the amount cannot be made.
information on contingent liability is disclosed in the
Notes to the Financial statements. Contingent assets
are not recognised. However, when the realisation of
income is virtually certain, then the related asset is no
longer a contingent asset, but it is recognised as an
asset.

(xxvii) Recent Accounting Pronouncements

(i) New and Amended Standards Adopted by the
Company:

The Ministry of Corporate Affairs vide notification
dated 9 september 2024 and 28 september 2024
notified the Companies (indian Accounting standards)
second Amendment Rules, 2024 and Companies
(indian Accounting standards) Third Amendment
Rules, 2024, respectively, which amended/ notified
certain accounting standards (see below), and are
effective for annual reporting periods beginning on or
after 1 April 2024:

â¢ Insurance contracts - Ind AS 117; and

â¢ Lease Liability in Sale and Leaseback - Amendments
to ind As 116

These amendments did not have any material impact
on the amounts recognised in prior periods and are not
expected to significantly affect the current or future
periods.

Notes:

* Rama Steel Tubes Limited ("the Company") has made the investment and incorporated wholly owned subsidiary in the name of M/s Rama Defence Private Limited and
certificate of incorporation was received on August 31,2024 from Ministry of Corporate Affairs.

** The Board of Directors of the Company has approved the exit from Joint Venture in the name of M/s Pir Panchal Constructions Private Limited-JV (AOP) based on the
audited financials of JV as on February 28,2025 in its meeting held on April 09,2025 as a result, M/s Pir Panchal Constructions Private Limited-JV (AOP) has stand ceased to
be Joint-Venture of the Company.

*** Rama Steel Tubes Limited ("the Company") holds remaining stake i.e 17.60% 4,40,000 equity shares of face value of'' 10 each in M/s Hager Mega Mart Private Limited
("HMMPL") as on March 31,2024 has further diluted on May 31,2024 pursuant to participating in buyback shares.

**** Rama Steel Tubes Limited ("the Company") has invested 40% in the stake of a newly incorporated company M/s Oram Green Energy Limited on October28,2024 and as a
result, M/s Oram Green Energy Limited has become the associate of Rama Steel Tubes Limited, thus our share in Net Profit /(Loss) including OCI of Associate for the period
October 28,2024 till March 31,2025 have been considered.

***** Rama Steel Tubes Limited ("the Company") has invested 10% in the stake of a newly incorporated company M/s Onix IPP Private Limited on December 17,2024.

maximum amount outstanding during the year ended March 31, 2025 was ''3648.75 lakhs. During the current year, the loan
given has been paid back.

(i) b) As at March 31, 2025, '' 293.38 lakhs was recoverable from a wholly owned subsidiary i.e. M/s RsT international Trading

FZE, Dubai. The loan was carrying interest of 7.75% p.a. The loan was given for the purpose of meeting its operational
requirements. The Loan was repayable upto 2 years in tranches as and when funds are available with M/s RsT international
Trading FZE, Dubai. The maximum amount outstanding during the year ended March 31, 2025 was '' 293.38 lakhs.

(ii) a) As at March 31, 2025, '' 733.73 lakhs was recoverable from a NBFC company i.e. M/s Deddu Finlease Limited. The loan

was carrying interest of 9.00% p.a. The loan was given for the purpose of meeting its business requirements. The Loan
was repayable upto 2.5 years in tranches as and when funds are required before the expiry of terms.The maximum amount
outstanding during the year ended March 31, 2025 was '' 733.73 lakhs.

(ii) b) As at March 31, 2025, '' 432.40 lakhs was recoverable from M/s vsT infra & Profiles Private Limited. The loan was carrying
interest of 9.00% p.a. The loan was given for the purpose of meeting its business requirements. The Loan was repayable upto
2.5 years in tranches as and when funds are required before the expiry of terms.The maximum amount outstanding during
the year ended March 31, 2025 was '' 432.40 lakhs.

(ii) c) As at March 31, 2025, '' 6.22 lakhs was recoverable from an associate M/s Oram Green energy Limited. The loan was carrying
interest of 8.75% p.a. The loan was given for the purpose of meeting its initial business requirements. The Loan was repayable
upto 2 years in tranches as and when funds are required before the expiry of terms.The maximum amount outstanding
during the year ended March 31, 2025 was '' 6.22 lakhs.

(ii) d) As at March 31, 2025, '' 0.1 lakhs was recoverable from M/s ravi Developers Private Ltd. The loan was carrying interest of
8.75% p.a. The loan was given for the purpose of meeting its initial business requirements. The Loan was repayable upto 2
years in tranches as and when funds are required before the expiry of terms.The maximum amount outstanding during the
year ended March 31, 2025 was '' 0.1 lakhs.

For movement during the year in Other Equity, refer "Statement of Changes in Equityâ

(i) securities premium is used to record the premium on issue of shares. The reserve is utilised in accordnace with the provisions of

the indian Companies Act, 2013 (" the Companies Actâ).

(ii) General reserve is used from time to time to transfer profits from retained earnings for approciation purposes. There is no policy
of regular transfer. General Reserves represents the free profits of the Company available for distribution. As per the Companies
Act, certain amount is required to be transferred to General reserve every time company distribute the dividend.

(iii) Capital reserve represents the amount foreited on the cancellation of share warrants. The reserve is not available for distribution
of dividend but can be utilised for issuing bonus shares.

(iv) retained earnings represents unallocated / un-distributed profits of the company. The amount that can be distributed as dividend
by the company to its equity shareholders is determined based on the separate financials statements of the Company and also
considering the requirement of the Company Act, 2013. Thus amount reported above are not distributable in entirety.

âDuring the current financial year, the Company identified a calculation error in the recognition of lease liability in respect of a
lease arrangement accounted for under Ind AS 116 - Leases. The lease liability at the time of recognition in books of accounts was
inadvertently recognised at '' 85.39 lakhs instead of '' 122.71 lakhs, resulting in an understatement of the lease liability by '' 37.32
lakhs.

Upon evaluation, the Company has determined that the error is not material to the previously issued financial statements in
accordance with Ind AS 8 - Accounting Policies, Changes in Accounting Estimates and Errors, and accordingly, no restatement of
the prior period financial statements has been made.

However, to ensure transparency, the Company has adjusted the opening balance of retained earnings for the current financial
year by '' 37.32 lakhs and provided appropriate recognition of the corrected balances going forward.

The Company has implemented appropriate controls to prevent such errors in future and confirms that the current year financial
statements have been prepared after incorporating the necessary corrections.

(v) Money received againt share warrants represent the 25% money received in advance against the share warrants which are 100%
convertible into equity shares on the receipt of full amount.

First Working Capital Term Loan (WCTL-ECLGS) from Axis bank outstanding amounting ''75 Lakhs as at 31.03.2025 are payable in
10 equal monthly installments commencing from April 05, 2025 to January 05, 2026, carrying a floating interest rate linked with
MCLR of bank (1 year MCLR: 9.25% plus 0.25 % p.a.=9.50% p.a) with periodical interest reset.

Second Working Capital Term Loan (WCTL-ECLGS) from Axis bank outstanding amounting ''137.20 Lakhs as at 31.03.2025 are
payable in 21 equal monthly installments commencing from April 30, 2025 to December 31, 2026, carrying a floating interest rate
linked with MCLR of bank (1 year MCLR: 9.25% plus 0.25 % p.a.=9.50% p.a) with periodical interest reset.

Third Working Capital Term Loan (WCTL-ECLGS) from Canara bank outstanding amounting ''56.06 Lakhs as at 31.03.2025 are
payable in 9 equal monthly installments commencing from April 30, 2025 to December 31 2025, carrying a floating interest rate
linked with MCLR of bank (1 year MCLR: 8.90% plus 0.60 % p.a.=9.50% p.a) with periodical interest reset.

Fourth Working Capital Term Loan (WCTL-ECLGS) from Canara bank outstanding amounting ''100.00 Lakhs as at 31.03.2025 are
payable in 32 equal monthly installments commencing from April 12, 2025 to November 12, 2027, carrying a floating interest rate
linked with MCLR of bank (1 year MCLR: 8.90% plus 0.60 % p.a.=9.50% p.a) with periodical interest reset.

First Vehicle Car loan from DAiMLER FINANCIAL SERVICES INDIA PVT.LTD outstanding amounting ''22.85 Lakhs as at 31.03.2025
are payable in 17 monthly installments commencing from April 18, 2025 to August 18, 2026 with rate of interest 8.50% p.a.

Second Vehicle Car loan from HDFC bank outstanding amounting ''74.90 Lakhs as at 31.03.2025 are payable in 35 monthly
installments commencing from April 05, 2025 to March 05, 2028 with rate of interest 8.50% p.a.

NOTE 32 : FiNANCiAL RISK MANAGEMENT

Financial Risk Factors

The Company''s principal financial liabilities comprise borrowings, trade and other payables. The main purpose of these financial liabilities
is to manage finances for the Company ''s operations. The Company has loan and other receivables, trade and other receivables, and
cash and short terms deposits that arise directly from its operations. The Company''s activities expose it to a variety of financial risks.

i) 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 prices comprise three types of risks: currency rate risk, interest rate risk and other price risks such as equity price
risk and commodity risk. Financials instruments affected by market risk includes loans and borrowings, deposits, investments.
Foreign currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes
in foreign exchanges rates. 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. This is based on the financial assets and financial liabilities held as of
March 31, 2025 and March 31, 2024.

ii) Credit Risk

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

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 overall risk management programme focuses on the unpredictability of financial markets and seeks to minimise
potential adverse effects on the Company''s financial performance.

The sensitivity analysis excludes the impact of movementsin market variables on the carrying value of post employeement
benefit obligations provisions and on the non-financial assets and liabilities. The sensitivity of the relevant statement of Profit
and Loss item is the effect of the assumed changes in the respective market risks. The Company''s acitivies expose it to a variety
of financial risks, including the effects of changes in foreign currency exchange rates and interest rates. However, such effect is
not material.

(a) Foreign exchange risk and sensitivity

The company transacts business primarly in indian Rupee ('').The company is exposed to foreign exchange risk through its
sales in international markets. The company has given unsecured loan to its wholly owned subsidiary company and has
foreign currency receivables and is therefore, exposed to foreign exchange risk. The company evaluates foreign currency
exposure time to time and follow established risk management policies by taking foreign exchange forward contracts to
hedge exposure of foreign currency risk and also some of the foreign currency exposure remains natually hedged. The
Following table analyses foreign currency risk from financial instruments as of March 31, 2025 and March 31, 2024 :-

(b) Interest rate risk and sensitivity

I nterest 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 is exposed to interest rate risk because funds are borrowed at both fixed and
floating interest rates. interest rate risk is measured by using the cash flow sensitivity for changes in variable interest rate.
The borrowings of the Company are principally denominated in rupees with a mix of fixed and floating rates of interest. The
Company has exposure to interest rate risk, arising principally on changes in base lending rate. The Company uses a mix of
interest rate sensitive financial instruments to manage the liquidity and fund requirements for its day to day operations like
short term loans. The risk is managed by the Company by maintaining an appropriate mix between fixed and floating rate
borrowings, and by the use of interest rate swap contracts.

(c) Commodity price risk and sensitivity

The company is exposed to the movement in price of key raw materials in domestic markets. The Company enters into
contracts for procurement of material most of the transactions are short term fixed price conract.

Credit Risk

The Company is exposed to credit risk from its operating activities (primarily trade receivables). Credit risk arises from the
possibility that counter party may not be able to settle their obligations as agreed. To manage this, the Company periodically
assesses the financial reliability of customers, taking into account the financial condition, current economic trends, and
analysis of historical bad debts and ageing of accounts receivable. individual risk limits are set accordingly. The Company
considers the probability of default upon initial recognition of assets and whether there has been a significant increase in
credit risk on an ongoing basis through each reporting period. To assess whether there is a significant increase in credit risk,
the company compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the
date of initial recognition. it considers reasonable and supportive forward-looking information.

Cash and Cash Equivalents, Deposit in Banks and other Financial instruments

The Company considers factors such as track record, size of the institution, market reputation and service standards
to select the banks with which balances and deposits are maintained. Generally, the balances are maintained with the
institutions with which the Company has also availed borrowings. The Company does not maintain significant cash and
deposit balances other than those required for its day to day operations. For other financial assets the company monitors
ratings, credit spreads and financial strengths of its counterparties. Based on its ongoing assessment of the counter party''s
risk, the company adjust its exposures to various counter parties. Based on the assessment there is no impairment in other
financial assets.

Liquidity Risk

Liquidity risk is defined as the risk that the Company will not be able to settle or meet its obligations on time or at a
reasonable price.The Company''s finance department is responsible for liquidity, funding as well as settlement management.
in addition, processes and policies related to such risks are overseen by senior management. Management monitors the
Company''s net liquidity position through rolling forecasts on the basis of expected cash flows.

Maturity profile of financial liabilities

The table below provides details regarding the remaining contractual maturities of financial liabilities at the reporting date
based on contractual undiscounted payments.

For the purposes of the Company''s capital management, capital includes issued capital and all other equity reserves. The
primary objective of the Company''s Capital Management is to maximize shareholder value. The company manages its
capital structure and makes adjustments in the light of changes in economic environment and the requirements of the
financial covenants. in order to achieve this overall objective, the Company''s capital management, amongst other things,
aims to ensure that it meets financial covenants attached to the interest-bearing loans and borrowings that define capital
structure requirements. Breaches in meeting the financial covenants would permit the bank to immediately call loans and
borrowings. There have been no breaches of the financial covenants of any interest bearing loans and borrowing for reported
periods.

The Company monitors its capital using gearing ratio, which is net debt divided to total equity. Net debt includes, interest
bearing loans and borrowings less cash and cash equivalents, bank balances other than cash and cash equivalents.

Fair Value Hierarchy

This section explains the judgements and estimates made in determining the fair values of the financial instruments that are (a)
recognised and measured at fair value and (b) measured at amortised cost and for which fair values are disclosed in the financial
statements. To provide an indication about the reliability of the inputs used in determining fair value, the Company has classified its
financial instruments into the three levels prescribed under the accounting standard.

Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity instruments that
have quoted price. The fair value of all equity instruments which are traded in the stock exchanges is valued using the closing price as
at the reporting period.

Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation techniques which
maximise the use of observable market data 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.

Level 3: if one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. This is the
case for unlisted equity securities, security deposits included in level 3.

NOTE 37 : EMPLOYEE BENEFiT OBUGATiONS
I. Defined Contribution plans

The Company makes provident fund contributions and ESi contribution which are defined contribution plans, for qualifying
employees. under the scheme, the Company is required to contribute a specified percentage of the payroll costs to fund the
benefits. The Company recognised the expenses as per below table for provident fund contributions in the statement of profit and
loss. The contributions payable to these plans by the Company are at rates specified in the rules of the schemes. The obligation
of the Company is limited to the amount contributed and it has no further contractual nor any constructive obligation.

OCI presentation of defined benefit plan

a) Gratuity is in the nature of defined benefit plan, re-measurement gains / (losses) on defined benefit plans is shown under
OCi as items that will not be reclassified to profit or loss and also the income tax effect on the same.

b) Leave encashment cost is in the nature of short term employee benefits.

Presentation in Statement of Profit and Loss and Balance Sheet

Expenses for service cost , net interest on net defined benefit liability (asset) is charged to statement of Profit & Loss.

iND As 19 do not require seggregation of provision in current and non-current, however net defined liability (Assets) is shown as
current and non-current provision in balance sheet as per iND As 1.

Actuarial liability for short terms benefits (leave encashment cost) is shown as current and non-current provision in balance
sheet.

when there is surplus in defined plan, the company is required to measure the net defined benefit at the lower of the surplus in
the defined benefit plan and the assets ceiling, determined using the discount rate specified i.e. market yield at the end of the
reporting period on government bonds, this is applicable for domestic companies, foreign company can use corporate bonds rate.

The Company does not face a significant liquidity risk with regard to its lease liabilities as the current assets are sufficient to meet the
obligations related to lease liabilities as and when they fall Rental expenses recorded for short- term leases was ''19.29 Lakhs for the
year ended March 31, 2025 and '' 57.43 Lakhs for the year ended March 31, 2024 respectively

NOTE 46 : Disclosure pursuant to Ind AS 20 "Accounting for Government Grants and Disclosure of Government Assistance

The Company''s exports qualify for various export benefits offered in the form of duty credit scrips under foreign trade policy framed by
Department General of Foreign Trade india (DGFT). income accounted towards such export incentives and duty drawback amounts to
'' 6.67 Lakhs for the year ended March 31, 2025 (previous year '' 1.75 Lakhs)

NOTE 47 : RELATED PARTY TRANSACTIONS

The related parties as per the terms of ind As-24,ârelated Party Disclosuresâ, {under the section 133 of the Companies Act 2013 (the
Act) read with Companies (indian Accounting standards) rules 2015 (as amended from time to time)}, as disclosed below:-

NOTE 50 : RELATIONSHIP WITH STRUCK OFF COMPANIES

The company does not have any relationship with companies struck off (as defined by Companies Act, 2013) and did not enter into

transactions with any such company for the years ended March 31, 2025 and March 31, 2024 .

NOTE 51 : CRYPTOCURRENCY OR VIRTUAL CURRENCY TRANSACTIONS

The Company did not enter transactions in Cryptocurrency or virtual currency during the year ended March 31, 2025 (March 31, 2024:

NIL).

NOTE 52 : ADDITIONAL REGULATORY INFORMATION

(i) The title in respect of self-constructed buildings and title deeds of all other immovable properties (other than properties where the
company is the lessee and the lease agreements are duly executed in favour of the lessee), disclosed in the financial statements
included under Property, Plant and Equipment are held in the name of the Company as at the balance sheet date.

(ii) The company has not done fair valuation of investment property as it can not be measured reliably as the same is not a liquid
assset and not readily saleable.

(iii) The company has not revalued its Property, Plant and equipment (including Right-of-use Assets), and intangible assets.

(iv) No proceedings have been initiated during the year or are pending against the Company as at March 31, 2025 for holding any
benami property under the Benami Transactions (Prohibition) Act, 1988 (as amended in 2016) and rules made thereunder.

(v) The company has not been declared wilful defaulter by any bank or financial institution or government or any government
authority.

(vi) The company has complied with the number of layers prescribed under the Companies Act, 2013

(vii) The company has registered all the charges and satisfaction thereof with the registrar of Companies within the statutory
Periods.

(viii) utilisation of borrowed funds and share premium:

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:

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

b) provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries

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

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

b) provide any guarantee, security or the like on behalf of the ultimate beneficiaries

(ix) There is no income surrendered or disclosed as income during the current or previous year in the tax assessments under the
income Tax Act, 1961, that has not been recorded in the books of account.

(x) The Board of Directors has resolved to withdraw the proposed scheme of Arrangement for the amalgamation of M/s Lepakshi
Tubes Private Limited with M/s Rama steel Tubes Limited, which was initially approved on February 14, 2022. upon a comprehensive
review, the Board deliberated on the significant shifts in market conditions post the COviD-19 pandemic, particularly the volatility
within the global steel industry from the time of application to the present. Given these evolving dynamics, the management of
both applicant companies has reassessed their strategic positioning and concluded that operating as separate entities would
offer a greater competitive advantage, ultimately serving the best interests of all stakeholders. Furthermore, considering that the
Transferor Company operates in south india, it has established strong relationships with local suppliers, customers, and regulatory
authorities. The management has determined that a merger in the current market environment may not align with these regional
associations and could introduce complexities that are not in the best interest of either entity. in light of these factors, the
companies have decided to proceed independently to optimize growth and operational efficiencies.This decision has been duly
considered, and the Hon''ble National Company Law Tribunal (NCLT) has issued its order on september 10, 2024.

(xi) Loans & advances in the nature of loans granted to Promoters, Directors, KMPs and the related parties (as defined under
Companies Act,2013), either severally or jointly with any other, that are:-

(a) repayable on demand; or

(b) without specifying any terms or period of repaymentx

NOTE 54 : NOTE ON AUDIT TRAIL

In the BizSol ERP, audit trail at transaction level on application layer has an embedded audit trail in sub-ledger accounting tables which
creates unique events for every transaction along with dates of creating and updating transactions with the identity of users. General
ledger journals are not allowed to be modified after posting and the date and creator of journals are tracked. This feature cannot be
disabled. Additionally, audit trail was enabled for masters and transactions in a phased manner. Audit trail feature with respect to
application layer changes in accounting software has worked effectively during the year. Post publication of iCAi implementation
guide, direct database level changes was also included in audit trail scope. in respect of Bizsol ERP, access to direct database level
changes is available only to privileged users and it is not available to any of the Company personnel. However, the software product
owners have confirmed that there is no audit trail enabled for data base level changes.

NOTE 55 : During the year, The Board of the Group has accorded their consent in the meeting held on December 10, 2024 for subscription
of 24.81% stake in M/s Bigwin Buildsys Coated Private Limited for an aggregate consideration of '' 5.65/- Crore, a Company established
under the provisions of Companies Act, 2013 vide Corporate Identification Number U28999MH2019PTC335215 having its registered
office at 201-2, S C plot no 183, T Anuradha 51 ST Road, Near Veer Savarkar Udyan, Borivali West, Mumbai City, Mumbai, Maharashtra,

India- 400092 and consideration shall be made through by issuance of fresh equity shares of Rama Steel Tubes Limited subject to the
approvals of statutory authority and shareholders of the company. The issuance of equity shares of Rama steel Tubes Limited shall be
in the form of preferential issue of shares and shall be in compliance with applicable provisions of sEBi (ICDR) regulations, 2018. As a
result, M/s Bigwin Buildsys Coated Private Limited will become the associate of Rama steel Tubes Limited .

NOTE 56 : During the year, Axis Bank Ltd. invoked a bank guarantee (BG No. 00550100001322, dated August 3, 2024) amounting to
''35 lakh in favor of "The Chief Accounts Officer, Jal shakti (PHE) Department, Jammu.â in response, the Company filed a writ petition
with the Hon''ble High Court of J&K and Ladakh at Jammu to recover the amount, as the financial bid submitted on the e-portal had
automatically considered the GST rate as nil instead of 18%, potentially affecting the Company''s financial position. Consequently, the
Company has capitalized this amount.

NOTE 57 : Previous year figures have been regrouped/ rearranged, wherever considered necessary to conform to current year''s
classification.

NOTE 58 : Notes 1 to 56 are annexed to and form an integral part of financial statements.

For Rawat & Associates For and On Behalf of the Board

Chartered Accountants
Firm Registration No. 134109W

Sd/- Sd/- Sd/-

Nakul Rawat Naresh Kumar Bansal Richi Bansal

Partner (Managing Director) (Director)

Membership No. 416638 DIN: 00119213 DIN: 00119206

Sd/- Sd/-

PLace : Delhi Rajeev Kumar Agarwal Manish Kumar

Date : May 30, 2025 (Chief Financial Officer) (Company Secretary)

Mar 31, 2024

a) Provisions

Provisions (excluding employee benefits) 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. If the effect of the time value of money is material, provisions are discounted using equivalent period government securities interest rate. unwinding of the discount is recognised in the Statement of profit and Loss as a finance cost. provisions are reviewed at each balance sheet date and are adjusted to reflect the current best estimate.

b) Contingencies

Contingent liabilities are disclosed when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company or a present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle or a reliable estimate of the amount cannot be made. Information on contingent liability is disclosed in the Notes to the Financial Statements. Contingent assets are not recognised. However, when the realisation of income is virtually certain, then the related asset is no longer a contingent asset, but it is recognised as an asset.

(xxvii) Recent Accounting Pronouncements

(i) New and Amended Standards Adopted by the Company:

The Company has applied the following amendments for the first time for their annual reporting period commencing April 1, 2023:

Ind AS 8 - Accounting Policies, Changes in Accounting Estimates and Errors

The amendments to Ind AS 8 clarify the distinction between changes in accounting estimates, changes in accounting policies and the correction of errors. They also clarify how entities use measurement techniques and inputs to develop accounting estimates.

Ind AS 1 - Presentation of Financial Statements

The amendments to Ind AS 1 provide guidance and examples to help entities apply materiality judgements to accounting policy disclosures. The amendments aim to help entities provide accounting policy disclosures that are more useful by replacing the requirement for entities to disclose their ''significant'' accounting policies with a requirement to disclose their ''material'' accounting policies and adding guidance on how entities apply the concept of materiality in making decisions about accounting policy disclosures. This amendment do not have any material impact on the Company''s financial statements and disclosures.

Ind AS 12 - Income Taxes

The amendments to Ind AS 12 Income Tax narrow the scope of the initial recognition exception, so that it no longer applies to transactions that give rise to equal taxable and deductible temporary differences such as leases and decommissioning liabilities.

The above amendments did not have any material impact on the amounts recognised in prior periods and are not expected to significantly affect the current or future periods.

(ii) New Standards/Amendments notified but not yet effective:

Ministry of Corporate Affairs ("MCAâ) notifies new standards or amendments to the existing standards under Companies (Indian Accounting Standards) Rules as issued from time to time. During the year ended March 31, 2024, MCA has not notified any new standards or amendments to the existing standards applicable to the Company.

32. FINANCIAL RISK MANAGEMENT Financial Risk Factors

The Company''s principal financial liabilities comprise borrowings, trade and other payables. The main purpose of these financial liabilities is to manage finances for the Company ''s operations. the Company has loan and other receivables, trade and other receivables, and cash and short terms deposits that arise directly from its operations. The Company''s activities expose it to a variety of financial risks.

i) Market Risk

investments. Foreign currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchanges rates. 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. This is based on the financial assets and financial liabilities held as of March 31, 2024 and March 31, 2023.

ii) Credit Risk

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

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 overall risk management programme focuses on the unpredictability of financial markets and seeks to minimise potential adverse effects on the Company''s financial performance.

Market Risk

The sensitivity analysis excludes the impact of movementsin market variables on the carrying value of post employeement benefit obligations provisions and on the non-financial assets and liabilities. The sensitivity of the relevant statement of Profit and Loss item is the effect of the assumed changes in the respective market risks. The Company''s acitivies expose it to a variety of financial risks, including the effects of changes in foreign currency exchange rates and interest rates. However, such effect is not material.

(a) Foreign exchange risk and sensitivity

The company transacts business primarly in Indian Rupee ('').The company is exposed to foreign exchange risk through its sales in international markets. The company has given unsecured loan to its wholly owned subsidiary company and has foreign currency receivables and is therefore, exposed to foreign exchange risk. The company evaluates foreign currency exposure time to time and follow established risk management policies by taking foreign exchange forward contracts to hedge exposure of foreign currency risk and also some of the foreign currency exposure remains natually hedged. The Following table analyses foreign currency risk from financial instruments as of March 31, 2024 and March 31, 2023 :

(b) Interest rate risk and sensitivity

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 is exposed to interest rate risk because funds are borrowed at both fixed and floating interest rates. Interest rate risk is measured by using the cash flow sensitivity for changes in variable interest rate. the borrowings of the Company are principally denominated in rupees with a mix of fixed and floating rates of interest. the Company has exposure to interest rate risk, arising principally on changes in base lending rate. the Company uses a mix of interest rate sensitive financial instruments to manage the liquidity and fund requirements for its day to day operations like short term loans. the risk is managed by the Company by maintaining an appropriate mix between fixed and floating rate borrowings, and by the use of interest rate swap contracts.

(c) Commodity price risk and sensitivity

the company is exposed to the movement in price of key raw materials in domestic markets. the Company enters into contracts for procurement of material most of the transactions are short term fixed price conract.

Credit Risk

the Company is exposed to credit risk from its operating activities (primarily trade receivables). Credit risk arises from the possibility that counter party may not be able to settle their obligations as agreed. To manage this, the Company periodically assesses the financial reliability of customers, taking into account the financial condition, current economic trends, and analysis of historical bad debts and ageing of accounts receivable. Individual risk limits are set accordingly. the Company considers the probability of default upon initial recognition of assets and whether there has been a significant increase in credit risk on an ongoing basis through each reporting period. To assess whether there is a significant increase in credit risk, the company compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers reasonable and supportive forward-looking information.

Cash and Cash Equivalents, Deposit in Banks and other Financial instruments

the Company considers factors such as track record, size of the institution, market reputation and service standards to select the banks with which balances and deposits are maintained. Generally, the balances are maintained with the institutions with which the Company has also availed borrowings. the Company does not maintain significant cash and deposit balances other than those required for its day to day operations. For other financial assets the company monitors ratings, credit spreads and financial strengths of its counterparties. Based on its ongoing assessment of the counter party''s risk, the company adjust its exposures to various counter parties. Based on the assessment there is no impairment in other financial assets.

Liquidity Risk

Liquidity risk is defined as the risk that the Company will not be able to settle or meet its obligations on time or at a reasonable price.the Company''s finance department is responsible for liquidity, funding as well as settlement

Capital Risk Management

For the purposes of the Company''s capital management, capital includes issued capital and all other equity reserves. The primary objective of the Company''s Capital Management is to maximize shareholder value. the company manages its capital structure and makes adjustments in the light of changes in economic environment and the requirements of the financial covenants. In order to achieve this overall objective, the Company''s capital management, amongst other things, aims to ensure that it meets financial covenants attached to the interest-bearing loans and borrowings that define capital structure requirements. Breaches in meeting the financial covenants would permit the bank to immediately call loans and borrowings. there have been no breaches of the financial covenants of any interest bearing loans and borrowing for reported periods.

the Company monitors its capital using gearing ratio, which is net debt divided to total equity. Net debt includes, interest bearing loans and borrowings less cash and cash equivalents, bank balances other than cash and cash equivalents.

Fair Value Hierarchy

This section explains the judgements and estimates made in determining the fair values of the financial instruments that are (a) recognised and measured at fair value and (b) measured at amortised cost and for which fair values are disclosed in the financial statements. To provide an indication about the reliability of the inputs used in determining fair value, the Company has classified its financial instruments into the three levels prescribed under the accounting standard.

Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. this includes listed equity instruments that have quoted price. the fair value of all equity instruments which are traded in the stock exchanges is valued using the closing price as at the reporting period.

Level 2: the fair value of financial instruments that are not traded in an active market is determined using valuation techniques which maximise the use of observable market data 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.

Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. this is the case for unlisted equity securities, security deposits included in level 3.

OCI presentation of defined benefit plan

a) Gratuity is in the nature of defined benefit plan, re-measurement gains / (losses) on defined benefit plans is shown under OCI as Items that will not be reclassified to profit or loss and also the income tax effect on the same.

b) Leave encashment cost is in the nature of short term employee benefits.

Presentation in Statement of Profit and Loss and Balance Sheet

Expenses for Service cost , net interest on net defined benefit liability (asset) is charged to Statement of profit & Loss.

IND AS 19 do not require seggregation of provision in current and non-current, however net defined liability (Assets) is shown as current and non-current provision in balance sheet as per IND AS 1.

Actuarial liability for short terms benefits (leave encashment cost) is shown as current and non-current provision in balance sheet.

When there is surplus in defined plan, the company is required to measure the net defined benefit at the lower of the surplus in the defined benefit plan and the assets ceiling, determined using the discount rate specified i.e. market yield at the end of the reporting period on government bonds, this is applicable for domestic companies, foreign company can use corporate bonds rate.

The company does not have any relationship with companies struck off (as defined by Companies Act, 2013) and did not enter into transactions with any such company for the years ended March 31,2024 and March 31,2023 .

NOTE 51 : CRYPTOCURRENCY OR VIRTUAL CURRENCY TRANSACTIONS

the Company did not enter transactions in Cryptocurrency or Virtual currency during the year ended March 31,2024 (March 31,2023: NIL).

NOTE 52 : ADDITIONAL REGULATORY INFORMATION

(i) the title in respect of self-constructed buildings and title deeds of all other immovable properties (other than properties where the company is the lessee and the lease agreements are duly executed in favour of the lessee), disclosed in the financial statements included under property, plant and Equipment are held in the name of the Company as at the balance sheet date.

(ii) the company has not done fair valuation of investment property as it can not be measured reliably as the same is not a liquid assset and not readily saleable.

(iii) the company has not revalued its property, plant and equipment (including Right-of-use Assets), and intangible assets.

(iv) No proceedings have been initiated during the year or are pending against the Company as at March 31, 2024 for holding any benami property under the Benami transactions (prohibition) Act, 1988 (as amended in 2016) and rules made thereunder.

(v) the company has not been declared wilful defaulter by any bank or financial institution or government or any government authority.

(vi) the company has complied with the number of layers prescribed under the Companies Act, 2013.

(vii) the company has registered all the charges and satisfaction thereof with the Registrar of Companies within the statutory periods.

(viii) utilisation of borrowed funds and share premium:

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:

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

b) provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries

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

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

b) provide any guarantee, security or the like on behalf of the ultimate beneficiaries

(ix) There is no income surrendered or disclosed as income during the current or previous year in the tax assessments under the Income tax Act, 1961, that has not been recorded in the books of account.

(x) the Board has decided to rescind the proposal for Scheme of Arrangement as proposed for amalgamation of M/s Lepakshi tubes private limited with M/s Rama Steel tubes limited, which was considered and approved on February 14, 2022. the proposal were discussed in detail by the Board and it has been discussed that post Covid pandemic, the market conditions have undergone drastically changes and due to these volatile market conditions and changes in the steel industry in this time period globally i.e. from application to current date the Applicant Companies are forced to reconsider the decision of merger. on re-evaluating their market positioning within the steel industry the management of both applicant companies has come to the conclusion that the two companies will now be at better competitive advantage working as two separate entities rather than amalgamating into one entity in the better interest of all stakeholders at large. Moreover, due to transferor Company operating in south India, it may have established relationships with local stakeholders including suppliers, customers and regulatory bodies. A merger that does not align with these existing relationships or involves unfamiliar regional dynamics in changed market dynamics is deemed less desirable by the management of Applicant companies.

(xi) loans & advances in the nature of loans granted to promoters, Directors, KMps and the related parties (as defined under Companies Act,2013), either severally or jointly with any other, that are:-

(a) repayable on demand; or

(b) without specifying any terms or period of repayment

In the BizSol ERP, audit trail at transaction level on application layer has an embedded audit trail in sub-ledger accounting tables which creates unique events for every transaction along with dates of creating and updating transactions with the identity of users. General ledger journals are not allowed to be modified after posting and the date and creator of journals are tracked. This feature cannot be disabled. Additionally, audit trail was enabled for masters and transactions in a phased manner. Audit trail feature with respect to application layer changes in accounting software has worked effectively during the year. post publication of ICAI implementation guide, direct database level changes was also included in audit trail scope. In respect of BizSol ERP, access to direct database level changes is available only to privileged users and it is not available to any of the Company personnel. However, the software product owners have confirmed that there is no audit trail enabled for data base level changes.

NOTE 55: FOREFEITURE OF APPLICATION MONEY ON SHARE WARRANTS

the company has forfeited 16,55,760/- number of warrants out of 37,50,000/- issued to " the Great International Tuskar Fundâ, belonging to Non-promoter warrant holder.Warrants were alloted on June 10, 2022 with the approval of the Board and Members of the Company in compliance with applicable provisions of Chapter V of SEBI (ICDR), regulations, 2018. the warrants should have been converted into equity shares of company within the period of 18 months from the date of allotment of the warrants. In view of the same, the due date for conversion of warrants was December 9, 2023 but due to non-receipt of balance 75% amount from "the Great International tusker Fundâ one of the warrants holders of the Company, even after giving several reminder via electronic mail and phone call, the Board of Directors of the Company approved the forfeiture of the application money paid amounting to 25% of the total amount payable for the allotment of the warrants to the Company in accordance to the regulation 169(3) of SEBI (ICDR), Regulations, 2018.Therefore a sum of '' 316.25 Lakhs earlier received and disclosed as money received against share warrants under Other Equity has been forfeited and shown as "Capital Reserveâ, under Other Equity.

NOTE 56 : Previous year figures have been regrouped/ rearranged, wherever considered necessary to conform to current year''s classification.

NOTE 57 : 1 to 55 are annexed to and form an integral part of financial statements.

For Rawat & Associates For and On Behalf of the Board

Chartered Accountants Firm Registration No. 134109W

Sd/- Sd/- Sd/-

Nakul Rawat Naresh Kumar Bansal Richi Bansal

Partner (Managing Director) (Director)

Membership No. 416638 DIN: 00119213 DIN: 00119206

Sd/- Sd/-

Place : Delhi Rajeev Kumar Agarwal Arpit Suri

Date : May 30, 2024 (Chief Financial Officer) (Company Secretary)

Mar 31, 2023

Provisions & CONTIGENT LIABILTY

a) Provisions Provisions (excluding employee benefits) 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. If the effect of the time value of money
is material, provisions are discounted using equivalent
period government securities interest rate. Unwinding
of the discount is recognised in the Statement of Profit
and Loss as a finance cost. Provisions are reviewed at
each balance sheet date and are adjusted to reflect the
current best estimate.

b) Contingencies Contingent liabilities are disclosed when
there is a possible obligation arising from past events,
the existence of which will be confirmed only by the

occurrence or non-occurrence of one or more uncertain
future events not wholly within the control of the
Company or a present obligation that arises from past
events where it is either not probable that an outflow
of resources will be required to settle or a reliable
estimate of the amount cannot be made. Information
on contingent liability is disclosed in the Notes to
the Financial Statements. Contingent assets are not
recognised. However, when the realisation of income
is virtually certain, then the related asset is no longer a
contingent asset, but it is recognised as an asset.

3.23 Research and development costs

Research costs are expensed as incurred. Development
expenditures on an individual project are recognised as an
intangible asset when the Company can demonstrate:

a) The technical feasibility of completing the intangible
asset so that the asset will be available for use or sale

b) Its intention to complete and its ability and intention to
use or sell the asset

c) How the asset will generate future economic benefits

d) The availability of resources to complete the asset

e) The ability to measure reliably the expenditure during
development

Following initial recognition of the development
expenditure as an asset, the asset is carried at cost
less any accumulated amortisation and accumulated
impairment losses. Amortisation of the asset begins
when development is complete and the asset is available
for use. It is amortised over the period of expected future
benefit. Amortisation expense is recognised in the
statement of profit and loss unless such expenditure
forms part of carrying value of another asset.

4. Recent Accounting development

The Ministry of Corporate Affairs ("MCA") notified new
standard or amendments to the existing standards under
Companies (Indian Accounting Standard) Rules as issued
from time to time. On March 23, 2022, MCA notified the
Companies (Indian Accounting Standards) Amendment
Rules, 2022, applicable from April 1, 2022 to the Company as
below:

Ind AS 16 Property Plant and equipment - The amendment
clarifies that excess of net sale proceeds of items produced
over the cost of testing, if any, shall not be recognised in the
profit or loss but deducted from the directly attributable

costs considered as part of cost of an item of property
plant, and equipment. The effective date for adoption of this
amendment is annual periods beginning on or after April 1,
2022. The Company has evaluated the amendment and there
is no impact on its financial statements.

Ind AS 37 Provisions, Contingent Liabilities and Contingent
Assets - The amendment specifies that the ''cost of fulfilling''
a contract comprises the ''costs that relate directly to the
contract''. Costs that relate directly to a contract can either
be incremental costs of fulfilling that contract (examples
would be direct labour, materials) or an allocation of other
costs that relate directly to fulfilling contracts (an example
would be the allocation of the depreciation charge for an
item of property plant and equipment used in fulfilling the
contract). The effective date for adoption of this amendment
is annual periods beginning on or after April 1, 2022, although
early adoption is permitted. The Company has evaluated the
amendment and the impact is not expected to be material.

Ind As 103 The amendments specify that to qualify for
recognition as part of applying the acquisition method, the
identifiable assets acquired and liabilities assumed must
meet the definitions of assets and liabilities in the Conceptual
Framework for Financial Reporting under Indian Accounting
Standards (Conceptual Framework) issued by the Institute
of Chartered Accountants of India at the acquisition date.
These changes do not significantly change the requirements
of Ind AS 103. The Company does not expect the amendment
to have any significant impact in its financial statements

Ind As 109 The amendment clarifies which fees an entity
includes when it applies the ''10 percent'' test of Ind AS 109
in assessing whether to derecognise a financial liability.
The Company does not expect the amendment to have any
significant impact in its financial statements.

Ind As 116 The amendments remove the illustration of the
reimbursement of leasehold improvements by the lessor
in order to resolve any potential confusion regarding the
treatment of lease incentives that might arise because of
how lease incentives were described in that illustration.
The Company does not expect the amendment to have any
significant impact in its financial statements.

5. critical accounting estimates, assumptions and judgements

The preparation of the Company''s financial statements
requires management to make judgements, estimates and
assumptions that affect the reported amounts of revenues,
expenses, assets and liabilities, and the accompanying
disclosures, and the disclosure of contingent liabilities at the
date of the financial statements. Estimates and assumptions

are continuously evaluated and are based on management''s
experience and other factors, including expectations of
future events that are believed to be reasonable under the
circumstances.

Uncertainty about these assumptions and estimates could
result in outcomes that require a material adjustment to the
carrying amount of assets or liabilities affected in future
periods.

In particular, the Company has identified the following areas
where significant judgements, estimates and assumptions
are required. Further information on each of these areas
and how they impact the various accounting policies are
described below and also in the relevant notes to the
financial statements. Changes in estimates are accounted
for prospectively.

a) Judgements

In the process of applying the company''s accounting
policies, management has made the following
judgements, which have the most significant effect on
the amounts recognized in the financial statements:

i) Contingencies:

Contingent liabilities may arise from the ordinary
course of business in relation to claims against the
company, including legal, contractor, land access
and other claims. By their nature, contingencies will
be resolved only when one or more uncertain future
events occur or fail to occur. The assessment of the
existence, and potential quantum , of contingencies
inherently involves the exercise of significant
judgments and the use of estimates regarding the
outcome of future events.

ii) Recognition of Deferred tax Assets

The extent to which deferred tax assets can be
recognized is based on an assessment of the
probability that future taxable income will be
available against which the deductible temporary
differences and tax loss carry-forward can be
utilized. In addition, significant judgement is
required in assessing the impact of any legal or
economic limits or uncertainties in various tax
jurisdictions.

b) Estimates and Assumptions

The key assumptions concerning the future and other
key sources of estimation uncertainty at the reporting
date that have a significant risk of causing a material
adjustment to the carrying amounts of assets and
liabilities within the next financial year, are described
below.

The Company based its assumptions and estimates on
parameters available when the financial statements
were prepared. Existing circumstances and assumptions
about future developments, however, may change due
to market change or circumstances arising beyond the
control of the Company. Such changes are reflected in
the assumptions when they occur.

i) Useful lives of property .plant & equipment :

The Company reviews its estimate of the useful
lives of property ,plant & equipment at each
reporting date, based on the expected utility of the
assets.

ii) Defined benefit obligation :

The cost of the defined benefit plan and other
post-employment benefits and the present
value of such obligation are determined using
actuarial valuations. An actuarial valuation
involves making various assumptions that may
differ from actual developments in the future.
These include the determination of the discount
rate, future salary increases, mortality rates and
future pension increases. In view of the complexities
involved in the valuation and its long-term nature,
a defined benefit obligation is highly sensitive to
changes in these assumptions. All assumptions are
reviewed at each reporting date.

iii) Inventories :

The Company estimates the net realizable values
of inventories, taking into account the most reliable
evidence available at each reporting date. The future
realization of these inventories may be affected by
future technology or other market-driven changes
that may reduce future selling prices.

iv) Fair Value measurement of Financial Instruments:

When the fair values of financial assets and
financial liabilities recorded in the Balance Sheet
cannot be measured based on quoted prices
in active markets, their fair value is measured
using valuation techniques including the DCF
model. The inputs to these models are taken from
observable markets where possible, but where this
is not feasible, a degree of judgment is required
in establishing fair values. Judgements include
considerations of inputs such as liquidity risk,
credit risk and volatility. Changes in assumptions
about these factors could affect the reported fair
value of financial instruments.

Mar 31, 2018

1. Corporate Information

Rama Steel Tubes Limited (" the Company'') is limited Company domiciled in India and incorporated on Febuary 26, 1974 under the provisions of the CompanyAct, 1956 having its registered office at 7, Second Floor, Surya Niketan, New Delhi. The Company is a public company listed on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). The Company is engaged in the business of manufacturing of Steel Pipes and related products.

2. Basis of preparation of financial statements & Use of estimates

2.1 Basis of Preparation of financial Statements

These financial statements are prepared in accordance with Indian Accounting Standards (Ind AS) under the historical cost convention on the accrual basis except for certain financial instruments which are measured at fair values, the provisions of the Companies Act, 2013 ( ''the Act'') ( to the extent notified) and guidelines issued by the Securities and Exchange Board of India ( SEBI). The Ind AS are prescribed under Section 133 of the Act read with Rule 3 of the Companies (Indian Accounting Standards) Rules, 2015 and Companies (Indian Accounting Standards) Amendment Rules, 2016. The Company has adopted as applicable Ind AS standards and the adoption was carried out in accordance with Ind AS 101, First-Time Adoption of Indian Accounting Standards. The transition to Ind AS is April 1, 2016 which was carried out from Indian Accounting Principles generally accepted in India as prescribed under Section 133 of the Act, read with Rule 7 of the Companies( Accounts)Rules, 2014 ( IGAAP), which was the previous GAAP. Recommendations and descriptions of the effect of the transition have been summarized in Note 45. Accounting policies have been consistently applied except where a newly-issued accounting standard is initially adopted or a revision to an existing accounting standard requires a change in the accounting policy hitherto in use.

2.2 Statement of compliance

The financial statements have been prepared in accordance with Indian Accounting Standard (Ind AS) notified under the Companies (Indian Accounting Standards) Rules, 2015.Upto the year ended 31st March, 2016, the Company prepared its financial statements in accordance with the requirements of previous GAAP, which includes Standards notified under the Companies (Accounting Standards) Rules, 2006. These are the Company''s first Ind AS financial statements. The date of transition to Ind AS is 1st April, 2016.

2.3 Use of estimates

The preparation of the financial statements in conformity with Ind AS requires the Management to make estimates, judgements and assumptions. These estimate, judgements and assumptions affect the application of accounting sheet date is classified as capital advances under other noncurrent assets and the cost of Property, Plant and Equipment not available for use before such date are disclosed under ''Capital work-in-progress''policies and the reported amounts of assets and liabilities,the disclosures of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses during the period. The application of accounting policies that require critical accounting estimates involving complex and subjective judgements and the use of assumptions in these financial statements have been disclosed in Note 4. Accounting estimates could change from period to period. Actual results could differ from those estimates. Appropriate changes in estimates are made as the Management becomes aware of the changes in circumstances surrounding the estimates. Changes in estimates are reflected in the financial statements in the period in which changes are made and if material, their effects are disclosed in the notes to the financial statements.

D. Right, preference and restrictions attached to shares Equity Shares

The Company has only one class of equity shares having a par value of Rs. 5/- per share. Each Shareholder is eligible for one vote per share. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company, after distribution of all preferential amount , in proportion of their shareholding.

*Others includes Financial Institutions.

"# Secured by way of mortgage of plot No 131, sector-44, Gurgaon & hypothecation of fixed assets of the Company and extension of charge by way of hypothecation of current assets of the company.

First Term loan from banks amounting Rs.720.64 Lakhs as at 31.03.2018 are payable in 120 monthly installments commencing from August 2014 to October 2023, carrying a floating interest rate linked with MCLR of bank (1 year MCLR 8.20 % 1.60 % p.a.) with periodical interest reset).

Second topup term loan from banks amounting Rs.150.95 Lakhs as at 31.03.2018 are payable in 120 monthly installments commencing from April 2017 to March 2027, carrying a floating interest rate linked with MCLR of bank (1 year MCLR 8.20% 1.60 % p.a.) with periodical interest reset).

First vehicle loan term loan from bank amounting Rs.3.90 Lakhs are payable in 36 monthly installments commencing from May 2016 to April 2019 with rate of interest 9.75 % p.a. at year end.

Second Vehicle term loan from bank amounting Rs.59.70 Lakhs are payable in 60 monthly installments commencing from March 2017 to Feb 2022 with rate of interest 9.75% p.a. at year end. Note: Installments falling due in respect of all the above loans upto 31st March, 2018 have been grouped under ""Current Maturities of long term debt.""(Refer Note 19 (c))"

* Working Capital Facilities from Banks are secured by way of hypothecation of Company''s current assets (present and future) including interalia stock of raw materials, stores, spares, stock in process, finished goods etc. lying in the factory, shop, godowns, elsewhere and including goods in transit , book debts, bills receivable and first charge by way of collateral in respect of fixed assets of the company and further guaranteed by Sh. Naresh Kumar Bansal, Director and Sh. Richi Bansal Director of the Company.

3. Financial Risk Management Financial Risk Factors

The Company''s principal financial liabilities comprise borrowings, trade and other payables. The main purpose of these financial liabilities is to manage finances for the Company ''s operations. The Company has loan and other receivables, trade and other receivables, and cash and short terms deposits that arise directly from its operations. The Company''s activities expose it to a variety of financial risks.

i) 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 prices comprise three types of risks: currency rate risk, interest rate risk and other price risks such as equity price risk and commodity risk. Financials instruments affected by market risk includes loans and borrowings, deposits, investments. Foreign currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchanges rates. 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. This is based on the financial assets and financial liabilities held as of March 31, 2018 and March 31, 2017.

ii) Credit Risk

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

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 overall risk management programme focuses on the unpredictability of financial markets and seeks to minimise potential adverse effects on the Company''s financial performance.

Market Risk

The sensitivity analysis excludes the impact of movementsin market variables on the carrying value of post employeement benefit obligations provisions and on the non-financial assets and liabilities. The sensitivity of the relevant statement of Profit and Loss item is the effect of the assumed changes in the respective market risks. The Company''s acitivies expose it to a variety of financial risks, including the effects of changes in foreign currency exchange rates and interest rates. However, such effect is not material.

(a) Foreign exchange risk and sensitivity

The company transacts business primarly in Indian Rupee. Therefore the company does not have trade receivables other than in Indian Currency on which foreign exchange currency risk and sensitivity does not arise.

(b) Interest rate risk and sensitivity

The Company does not have any borrowings on which the interest risk and Sensitivity arises.

The company is exposed to the movement in price of key raw materials in domestic markets. The Company enters into contracts for procurement of material most of the transactions are short term fixed price conract.

Credit Risk

The Company is exposed to credit risk from its operating activities (primarily trade receivables). Credit risk arises from the possibility that counter party may not be able to settle their obligations as agreed. To manage this, the Company periodically assesses the financial reliability of customers, taking into account the financial condition, current economic trends, and analysis of historical bad debts and ageing of accounts receivable. Individual risk limits are set accordingly. The Company considers the probability of default upon initial recognition of assets and whether there has been a significant increase in credit risk on an ongoing basis through each reporting period. To assess whether there is a significant increase in credit risk, the company compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers reasonable and supportive forward-looking information.

Cash and Cash Equivalents, Deposit in Banks and other Financial instruments

The Company considers factors such as track record, size of the institution, market reputation and service standards to select the banks with which balances and deposits are maintained. Generally, the balances are maintained with the institutions with which the Company has also availed borrowings. The Company does not maintain significant cash and deposit balances other than those required for its day to day operations. For other financial assets the company monitors ratings, credit spreads and financial strengths of its counterparties. Based on its ongoing assessment of the counter party''s risk, the company adjust its exposures to various counter parties. Based on the assessment there is no impairment in other financial assets.

Liquidity Risk

Liquidity risk is defined as the risk that the Company will not be able to settle or meet its obligations on time or at a reasonable price. The Company''s finance department is responsible for liquidity, funding as well as settlement management. In addition, processes and policies related to such risks are overseen by senior management. Management monitors the Company''s net liquidity position through rolling forecasts on the basis of expected cash flows.

Maturity profile of financial liabilities

The table below provides details regarding the remaining contractual maturities of financial liabilities at the reporting date based on contractual undiscounted payments.

Capital Risk Management

For the purposes of the Company''s capital management, capital includes issued capital and all other equity reserves. The primary objective of the Company''s Capital Management is to maximize shareholder value. The company manages its capital structure and makes adjustments in the light of changes in economic environment and the requirements of the financial covenants. In order to achieve this overall objective, the Company''s capital management, amongst other things, aims to ensure that it meets financial covenants attached to the interest-bearing loans and borrowings that define capital structure requirements. Breaches in meeting the financial covenants would permit the bank to immediately call loans and borrowings. There have been no breaches of the financial covenants of any interest bearing loans and borrowing for reported periods.

4. Fair value of financial assets and liabilities

Set out below is a comparison by class of the carrying amounts and fair value of the company''s financial instruments that are recognised in the financial statements.

Fair Value Hierarchy

The company measures financial instuments at fair value in accordance with the accounting policies mentioned above. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the assets or transfer the liability takes place either:

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

1. Level 1: Quoted prices/ NAV for Identical instruments in an active market.

2. Level 2: Directly or indirectly observable market inputs, other than level 1 inputs; and

3. Level 3: Inputs which are not based on observable market data.

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

Fair Value Technique

1) The carrying amounts of trade receivables, trade payables and cash and cash equivalents are considered to be the same as their fair values due to their short term nature.

2) The fair value of security deposit given was calculated based on cash flows discounted using the current lending rate. They are classified as a level 2 fair values in the fair value hierarchy due to the inclusion of unobservable inputs inlcuding counterparty credit risk.

3) For financial assets and liabilities that are measured at fair value, the carrying amounts are equal to the fair values.

During the year ended 31st March 2018 and 31st March 2017, there were no transfers between level 1 and Level 2 fair value measurements and no transfer into and out of Level 3 vair value measurements. There is no transaction/ balance under Level 3.

5. Segment Reporting

The Company is in the business of manufacturing in a single segment of manufacturing of Steel and related products. Therefore, segment reported as per IND AS 108 is our operating segment.

The above sensitivity analysis is based on a change in an assumption while holding all other assumptions constant. In practice, this is unlikely to occur, and changes in some of the assumptions may be correlated. When calculating the sensitivity of the defined benefit obligation to significant acturial assumptions the same method (projected unit credit method) has been applied as when calculating the defined benefit obligation recognised within the Balance Sheet.

OCI presentation of defined benefit plan

b) Leave encashment cost is in the nature of short term employee benefits.

Presentation in Statement of Profit and Loss and Balance Sheet

Expenses for Service cost , net interest on net defined benefit liability (asset) is charged to Statement of Profit & Loss.

IND AS 19 do not require seggregation of provision in current and non-current, however net defined liability (Assets) is shown as current and non-current provision in balance sheet as per IND AS 1.

Actuarial liability for short terms benefits (leave encashment cost) is shown as current and non-current provision in balance sheet.

b) The company has not proposed any dividend to its shareholders during the year.

c) The Company has not given any loan or given any guarantee with respect to the parties covered under section 186 (4) of the Companies Act, 2013.

d) Certain balances of trade receivables, loan and advances, trade payable and other liabilities are subject to confirmation and / or reconciliation.

6. Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advances) is Rs.NIL (Previous Year Rs.NIL).

7. Exceptional item consists of Loss (Net) of Rs.NIL (Previous year Loss (Net) of Rs..90 Lakhs on the provision of employees benefits pertaining to previous years.

*A. Short-term benefits comprises the expenses recorded under the head employee benefit expenses (eg. Salary and wages, contribution to provident and other funds and staff welfare expenses).

B. The liability for gratuity and compensated absences are provided on actuarial basis for the Company as a whole, amounts accrued pertaining to key managerial personnel are not included above.

C. The remuneration of directors and key executives is determined by the remuneration committee having regard to the performance of individuals and market trends.

The transactions with the related parties are made on terms equivalent to those that prevail in arm''s length transactions. This assessment is undertaken each financial year through examining the financial position of the related party and the market in which the related party operates. Outstanding balances at the year-end are unsecured and settlement occurs in cash.

The Company does not have any potential equity shares and thus, weighted average number of equity shares for the computation of Basis EPS and Diluted EPS remains same.

8. Disclosures Required as per Indian Accounting Standard (IND AS) 101-First Time Adoption of Indian Accounting Standard Transition to IND AS 1. Basis of Preparation

The Company prepared financial statements for all periods up to 31st March,2016 in accordance with the Accounting Standards notified u/s 133 of the Companies Act, 2013 (as amended) read with Companies (Accounts) Rules 2015 ("Indian GAAP"). These are the Company''s first annual financials statements prepared complying in all material respects with the Indian Accounting Standards notified under Section 133 of Companies Act,2013, read together with paragraph 3 of the Companies (Indian Accounting Standards) Rules 20115. Accordingly the Company prepared its opening IND AS Balance sheet at April 1, 2016 and comparative period presented for the financial year ended 31st March, 2017.

i. Exemptions availed

As permited by IND AS 101, the company has not availed any exemotions from the retrospective application of certain requirements under IND AS.

The Company has choosen to measure all items of PPE on transition date i.e. 1st April, 2016 at carrying value under previous IGAAP at their deemed cost.

ii. Exceptions applied

Estimates : Estimates at 1st April, 2016 and 31st March, 2017 are consistent with estimates made for the same date in accordance with IGAAP.

Classification and measurement of financial assets: The Company has classified the financial assets in accordance with IND AS 109 on the basis of facts and condition existed on IND AS transition date.

iii. Measurement and recognition difference for the year ended 31st March, 2017.

1. Property ,Plant and Equipment Assets carried at Deemed cost in IND AS

The Company has carried out the previous IGAAP Figures of Property, Plant and Equipment appearing as on the date of transition i.e. 1st April, 2016, as deemed cost of the Property, Plant and Equipment.

2. Financial Instruments

i. Fair valuation of financial assets and liabilities

Under Indian GAAP, receivables and payables were measured at transaction cost less allowances for impairment , if any. Under IND AS, these financial assets and liabilitiies are initially recognised at fair value and subsequently measured at amortised cost using the effective interest method, less allowancec for Impairment, if any. The resulting finance charge or income is included in finance expenses or finance income in the Statement of Profit and Loss for financial liabilities and financial assets respectively.

ii. Investment in fellow subsidiary / associates

The Company has carried out the previous IGAAP Figures of investment in Fellow Subsidiary/ Associates appearing as on the date of transition i.e.1st April, 2016 as deemed cost of the Investment.

iii. Cost of borrowing

Borrowings designated and carried at amortised cost are accounted on effective interest rate method. The upfront fee or cost of borrowing incurred is deferred and accounted on effective interest rate. Borrowings are shown as net of unamortised amount of ufront fee incurred.

iv. Security Deposit

Under Previous GAAP, the security deposit for leases are accounted at an undiscounted value. Under Ind AS, the security deposits for leases have been recognised at discounted value and the difference undiscounted and discounted value has been recognised as Deferred lease rent which has been amortised over the respective lease term as rent expenses under ''other expenses''. The discounted value of the secuirty deposits is increased over the period of lease term by recognising the notional interest income under ''other income''.

3. Deferred Tax

The Company has accounted for deferred tax on the various adjustments between Indian GAAP and IND AS at the tax rate at which they are expected to be reversed.

4. Statement of Cash Flows

The impact of transition from Indian GAAP to IND AS on the Statement of Cash Flows is due to various reclassification adjustments recorded under IND AS in Balance sheet, Statement of Profit & Loss and difference in the definition of cash and cash equivalents and these two GAAPs''.

5. The impact of change in acturial assumption and experience adjustments for defined benefit obligation towards gratuity liability is accounted in the Statement of Other Comprehensive income and corresponding tax impact on the same.

9. The Company changed its method of charging depreciation from written down value method (WDV) to the straight-line method (SLM) for the Company''s Long Term assets. The retrospective effect of change upto 31st March, 2017 has increased the net book value of long term assets by ''666.76 Lakhs and corospondingly increased the other equity (retained earnings) by the same amount during the FY 2017-18. The company brought about the change because the straight-line method will more accurately reflect the pattern of usage and the expected benefits of such assets and provide greater consistency with the depreciation method used by other companies in the Company''s industry. The net book value of assets with useful lives remaining will be depreciated using the straight-line method prospectively. As a result of the change to the straight-line method of depreciating Long term assets, depreciation expenses decreased by Rs.130.17 Lakhs and increased the Net Profit before Tax by Rs.130.17 Lakhs for the year ended March 31, 2018.

10. Previous year figures have been regrouped/ rearranged, wherever considered necessary to conform to current year''s classification.

11. Notes 1 to 47 are annexed to and form an integral part of financial statements.

Mar 31, 2016

Details

(i) 29,86,800 Equity Shares of Rs.5/- each were allotted on March, 16,2016to the existing shareholders in the ratio of1 :2 in lieu of 14,93,400 Equity Shares of Rs.10/- each consequent to sub-division of Equity Share from Rs.10/- each to Rs.5/- each (In lieu of every one equity share of Rs.10/- each held, two equity shares of Rs.5/- each alloted)

(ii) 1,19,47,200 Equity Shares of Rs.5/- each were allotted as Bonus Shares on March, 16,2016to the existing shareholders in the ratio of1:4 (For every one equity share of Rs.5/- each, four equity shares of Rs.5/- each alloted)

(iii) 12,44,500 .Equity Shares of Rs. 10 each were allotted on Sept., 12,2014to existing shareholders as bonus shares in the ratio of 1:5 .(For every one Equity Share of Rs.10/- each five bonus equity shares of Rs.10/- each alloted)

Notes to Accounts as referred in Standalone Financial Statements for the Year ended 31st March 2016

Note No.1 Contingent Liabilities

Contingent liability not provided for in respect of:

a) Bank Guarantees of Rs. 2,106.52 Lacs (Previous year Rs. 1,751.10 Lacs)

b) Bills Discounted of Rs. NIL (Previous Year Rs. 111.63)

c) Accrued Liability for Leave Encashment of Rs. 3.32 Lacs (Previous Year Rs. 3.94/- Lacs)

d) Accrued Liability for Gratuity Outstanding of Rs. 37.12 Lacs (Previous Year Rs. 44.78/- Lacs)

e) Outstanding letters of credit amounting to Rs. 1,382.46 Lacs (Previous year Rs. 125.00 Lacs)

f) Entry Tax Payable Rs. 111.42 Lacs (Previous Year Rs. 111.42 Lacs)

g) Corporate Guarantees of Rs. NIL (Previous Year Rs. 3,000.00 Lacs, given to Union Bank of India on account of Bank Guarantees furnished by Union Bank of India to the Jammu & Kashmir Govt, towards contracts awarded to M/s Pir Panchal Construction Pvt. Ltd., Joint Venture, an association of person, in which our company is one of the participant)

Note No.2

During the Year 2011-12, the Petition filed by the company, challenging the Entry Tax (on Purchases) imposed by U.P VAT Authorities, was rejected by the Honâble High Court of Allahabad, holding the imposition of Entry Tax as lawful. The verdict of the honâble Court accrued Entry Tax Liability amounting to Rs.2,21,36,566/- upon the Company towards the UP Commercial Taxes Department. But the Company filed a petition in the honâble Supreme Court challenging the verdict of Allahabad High Court. Further in accordance with the directions of the honâble Supreme Court, the Company has paid a sum of Rs. 1,24,79,805/-to the Department and gave the Bank Guarantee for an amount of Rs. 96,56,761/-. The Case is still pending in the Court of Law. As the Company was of the opinion that eventually no liability shall accrue to the company on this issue, it did not provide for this Entry Tax Liability on Purchases intheYear2011-12.

Note No.3

None of the employees was in receipt of remuneration in excess of Rs.60,00,000 p.a. or Rs.5,00,000 p.m. if employed for part of the year as prescribed under section 197(12) of the Companies Act, 2013 red with Rule 5 of Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014.

Note No.4 Disclosure regarding computation of EPS in accordance with AS-20

* The EPS for current Year is calculated upon 1,49,34,000 Equity Shares of Rs.5/- each while for previous Year it is calculated upon 14,93,400 Equity Shares of Rs.10/- each

Note No.5 Segment Reporting (AS-17)

The Company is primarily engaged in the business of manufacture and sale of steel Tube/Pipes and its revenue from tradir segment is not significant. As such the accounting standard on segment reporting is not applicable.

Note No.6

On the basis of information available with the company, it does not owe any outstanding dues towards Small Scale Industrial Undertaking amended Schedule VI of the companies Act, 1956 vide Notification NO. GSR 129 (E) dated 22.02.99, in case the sum owned is Rs. 1.00 Lac or more which is outstanding for more than 30 days as at 31st March, 2016.

Note No.7

On the basis of information available with the company, the Company does not have any amounts due to suppliers under the Micro, Small and Medium Enterprises covered under the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act) as at 31st March 2016.

Note No.8

Amounts except number of shares and earnings per share are rounded off to the nearest rupees.

Note No.9

The figures of previous year have been regrouped / rearranged wherever considered necessary.

Note No.10

Significant accounting policies and practices adopted by the company are disclosed in the Note No.1 annexed to these financial statements.

Mar 31, 2015

Note No.1 Contingent Liabilities

Contingent inability not provided for in respect of:

a) Bank Guarantees of Rs.1751.10l_acs{PrevtousyearRs.1812.01 Lacs).

b) Bills Discounted ofRs.111.63 Lacs (Previous YearRs.Nil)

c) Accrued Liability for Leave Encashment of Rs.3.94 Lacs (Previous Year Rs.3.39 Lacs)

d) Accrued Liability for Gratuity Outstanding of Rs.44.78 Lacs (Previous Year Rs.39.14 Lacs)

e) Outstanding letters of credit amounting to Rs. 125.00 Lacs. (Previous year Rs. 125.00 Lacs)

f) Entry Tax Payable Rs.111.42 Lacs (Previous Year Rs.111.42 Lacs)

g) Corporate Guarantees of Rs.3000.00 Lacs (previous Year Rs.3000) given to Union Bank of India on account of Bank Guarantees furnished by Union Bank of India to the Jammu & Kashmir Govt towards contracts awarded to M/s Pir Panchal Construction Pvt.Ltd., Joint Venture, an association of person, in which our company is one of the participant.

Note No. 2: Depreciation

During the year, pursuant to the notification of Schedule II to the Companies Act, 2013 with effect from April 1,2014, the Company revised the estimated useful life of some of its assets to align the useful life with those specified in Schedule II. Further, assets individually costing Rs. 5,000/- or less that were depreciated fully in the year of purchase are now depreciated based on the useful life considered by the Company for the respective category of assets. The details of previously applied depreciation method, rates/ useful life are as follows:

Note No.3

a) During the Year 2011-12, the Petition filed by the company, challenging the Entry Tax (on Purchases) imposed by U.P VAT Authorities, was rejected by the Hon'ble High Court of Allahabad, holding the imposition of Entry Tax as lawful. The verdict of the hon'ble Court accrued Entry Tax Liability amounting to Rs.2,21,36,566/- upon the Company towards the UP Commercial Taxes Department. But the Company filed a petition in the hon'ble Supreme Court challenging the verdict of Allahabad High Court. Further in accordance with the directions of the hon'ble Supreme Court, the Company has paid a sum of Rs. 1,11,41,669/-to the Department and gave the Bank Guarantee for the balance amount of Rs. 1.09,94,897/-. The Case is still pending in the Court of Law. As the Company was of the opinion that eventually no liability shall accrue to the company on this issue, it did not provide for this Entry Tax Liability on Purchases intheYear2011-12.

b) The Company has filed civil suit for Rs. 45,35,667/-, against one of its debtor for recovery of dues in respect of goods supplied to them against LCs. The matter is pending in Delhi High Court

Note No.4

None of the employees was in receipt of remuneration in excess of Rs.60,00,000 p.a. or Rs,5,00,000 p.m. if employed for part of the year as prescribed under section 217 (2) (A) of the Companies Act, 1956.

Note No.5 Segment Reporting (AS-17)

The Company is primarily engaged in the business of manufacture and sate of steel Tube/Pipes and its revenue from trading segment is not significant. As such the accounting standard on segment reporting is not applicable

Note No.6 Related Party Disclosures (AS 18)

Related Parties with whom transaction have taken place during the year and balances outstanding as on the last day of the year; A. List of Related Parties

Enterprises over which Key Management Personnel (KMP) and Relatives of such personnel exercise significant control

1. M/s Advance Hightech Agro Products Pvt. Ltd

2. M/s Ravi Developers Pvt. Ltd.

3. M/s Gujarat Hi-Tech Steel Pvt. Ltd.

4. M/sHarbansLal(HUF)

5. M/sNareshKumar&Sons(HUF)

6. M/s Rich! Bansal (HUF)

7. M/sSwastika Industries

Key Management Personnel

1. Mr. Naresh Kumar Bansal

2. Mr. Richi Bansal

3. Mr.Surender Kumar Sharma

Relatives of Key Manangement Personnel

1. Ms. Kumud Bansal

2. Ms. Krati Bansal

3. Mr. Nikhil Bansal

4. Master Ishaan Bansal

5. Ms.ReetaRani

6. Ms.Parveen Bansal

7. Ms.Kanika Bansal

Note No.7

The outstanding balances of Sundry Debtors/Creditors in the books of the company are subject to confirmation.

Note No.8

Long Term Loans & Advances vide Note No. 12 include Advances against Capital Account of Rs, 17,92,025/- given as Advance against Mumbai Land Development. The aforesaid Land is in the name of the company.

Note No.9

On the basis of information available with the company, it does not owe any outstanding dues towards Small Scale Industrial Undertaking amended Schedule VI of the companies Act, 1956 vide Notification NO. GSR 129 (E) dated 22.02.99, in case the sum owned is Rs. 1.00 Lac or more which is outstanding for more than 30 days as at 31st March, 2015.

Note No.10

On the basis of information available with the company, the Company does not have any amounts due to suppliers under the Micro, Small and Medium Enterprises covered under the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act) as at 31st March 2015.

NoteNo.11

Amounts except number of shares and earnings per share are rounded Of to the nearest rupees.

Note No.12

The figures of previous year have been regrouped / rearranged wherever considered necessary.

Note No.13

Significant accounting policies and practices adopted by the company are disclosed in the Note No.1 annexed to these financial statements,

Mar 31, 2014

1. Contingent liability not provided for in respect of :

a) Bank Guarantees of Rs.1812.01 Lacs (Previous year Rs.1272.45 Lacs).

b) Bills Discounted of Rs.Nil (Previous Year Rs. 62.09 Lacs)

c) Accrued Liability for Leave Encashment of Rs. 3.39 Lacs (Previous Year Rs. 4.38 Lacs)

d) Accrued Liability for Gratuity Outstanding of Rs. 39.14 Lacs (Previous Year Rs. 33.36 Lacs)

e) Outstanding letters of credit amounting to Rs. 125.00 Lacs. (Previous year Rs. 125.00 Lacs)

f) Entry Tax Payable Rs.111.42 Lacs (Previous Year Rs.111.42 Lacs

g) Corporate Guarantees of Rs. 3000.00 Lacs (previous Year Rs. 3000) given to Union Bank of India on account of Bank Guarantees furnished by Union Bank of India to the Jammu & Kashmir Govt towards contracts awarded to M/s Pir Panchal Construction Pvt.Ltd., Joint Venture, an association of person, in which our company is one of the participant.

2.a) During the Year 2011-12, the Petition filed by the company, challenging the Entry Tax (on Purchases) imposed by U.P VAT Authorities, was rejected by the Hon'ble High Court of Allahabad, holding the imposition of Entry Tax as lawful. The verdict of the hon'ble Court accrued Entry Tax Liability amounting to Rs. 2,21,36,566/- upon the Company towards the UP Commercial Taxes Department. But the Company filed a petition in the hon'ble Supreme Court challenging the verdict of Allahabad High Court. Further in accordance with the directions of the hon'ble Supreme Court, the Company has paid a sum of Rs. 1,11,41,669/- to the Department and gave the Bank Guarantee for the balance amount of Rs. 1,09,94,897/-. The Case is still pending in the Court of Law. As the Company was of the opinion that eventually no liability shall accrue to the company on this issue, it did not provide for this Entry Tax Liability on Purchases in the Year 2011-12..

b) The Company has filed civil suit for Rs. 45,35,667/- , against one of its debtor for recovery of dues in respect of goods supplied to them against LCs. The matter is pending in Delhi High Court

3. None of the employees was in receipt of remuneration in excess of Rs. 60,00,000 p.a. or Rs. 5,00,000 p.m. if employed for part of the year as prescribed under section 217 (2) (A) of the Companies Act, 1956.

4. Segment Reporting (AS-17)

The Company is primarily engaged in the business of manufacture and sale of steel Tube/Pipes and its revenue from trading segment is not significant. As such the accounting standard on segment reporting is not applicable.

5. Related Party Disclosures (AS 18)

Related Parties with whom transaction have taken place during the year and balances outstanding as on the last day of the year;

A. List of Related Parties

Enterprises over which Key Management Personnel (KMP) and Relatives of such personnel exercise significant control

1. M/s Advance Hightech Agro Proucts Pvt. Ltd

2. M/s Ravi Developers Pvt. Ltd.

3. M/s Gujarat Hi-Tech Steel Pvt. Ltd.

4. M/s Harbans Lal (HUF)

5. M/s Naresh Kumar & Sons (HUF)

6. M/s Richi Bansal

7. M/s Swastika Industries

Key Management Personnel

1. Mr. Naresh Bansal

2. Mr. Richi Bansal

3. Mr.Surender Kumar Sharma

Relatives of Key Manangement Personnel

1. Ms. Kumud Bansal

2. Ms. Krati Bansal

3. Mr. Nikhil Bansal

4. Master Ishaan Bansal

5. Ms. Reeta Rani

6. Ms.ParveenBansal

7. Ms.Kanika Bansal

The outstanding balances of Sundry Debtors/Creditors in the books of the company are subject to confirmation.

6. Long Term Loans & Advances vide Note No.11 include Advances against Capital Account of Rs.12,92,025/- given as Advance against Mumbai Land Development. The aforesaid Land is in the name of the company.

7. On the basis of information available with the company, it does not owe any outstanding dues towards Small Scale Industrial Undertaking amended Schedule VI of the companies Act, 1956 vide Notification NO. GSR 129 (E) dated 22.02.99, in case the sum owned is Rs. 1.00 Lac or more which is outstanding for more than 30 days as at 31st March, 2014.

On the basis of information available with the company, the Company does not have any amounts due to suppliers under the Micro, Small and Medium Enterprises covered under the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act) as at 31st March 2014.

8. Amounts except number of shares and earnings per share are rounded off to the nearest rupees.

9. The figures of previous year have been regrouped / rearranged wherever considered necessary.

10. Significant accounting policies and practices adopted by the company are disclosed in the statement annexed to these financial statements as Annexure 1.

Mar 31, 2013

Contingent liability not provided for in respect of :

a) Bank Guarantees of Rs.1272.45 Lacs (Previous year Rs.767.46 Lacs).

b) Bills Discounted of Rs.61.09 Lacs (Previous Year Rs.54.86 Lacs)

c) Accrued Liability for Leave Encashment of Rs.4.38 Lacs (Previous Year Rs.2.58 Lacs)

d) Accrued Liability for Gratuity Outstanding of Rs.33.36 Lacs (Previous Year Rs.28.90 Lacs)

e) Outstanding letters of credit amounting to Rs.125.00 Lacs. (Previous year Rs.125.00 Lacs)

f) Entry Tax Payable Rs.111.42 Lacs (Previous Year Rs.111.42 Lacs)

g) Corporate Guarantees of Rs.3000.00 Lacs (previous Year NIL) given to Union Bank of India on account of Bank Guarantees furnished by Union Bank of India to the Jammu & Kashmir Govt towards contracts awarded to M/s Pir Panchal Construction Pvt.Ltd., Joint Venture, an association of person, in which our company is one of the participant.

Note No.2

a) During the Year 2011-12, the Petition filed by the company, challenging the Entry Tax (on Purchases) imposed by U.P VAT Authorities, was rejected by the Hon''ble High Court of Allahabad, holding the imposition of Entry Tax as lawful. The verdict of the hon''ble Court accrued Entry Tax Liability amounting to Rs.2,21,36,566/- upon the Company towards the UP Commercial Taxes Department. But the Company filed a petition in the hon''ble Supreme Court challenging the verdict of Allahabad High Court. Further in accordance with the directions of the hon''ble Supreme Court, the Company has paid a sum of Rs.1,11,41,669/- to the Department and gave the Bank Guarantee for the balance amount of Rs.1,09,94,897/-. The Case is still pending in the Court of Law. As the Company was of the opinion that eventually no liability shall accrue to the company on this issue, it did not provide for this Entry Tax Liability on Purchases in the Year 2011-12.

b) The company filed one civil suit against MPSEB, JABLAPUR for cancellation of Bank Guarantee invoked by MPSEB, JABLAPUR amounting to Rs. 9,41,700/- in the civil court Jabalpur. The Suit has been decided in favour of the Company against which MPSEB has preferred Appeal. As such the Case is still subjudice. The company is of the view that it would get favourable verdict and no demand would be eventually sustained in any of the pending matters. Accordingly, no provision is made in the books in respect of these contingent liabilities.

c) The Company has filed civil suit for Rs. 45,35,667/- , against one of its debtor for recovery of dues in respect of goods supplied to them against LCs. The matter is pending in Delhi High Court

Note No.3

None of the employees was in receipt of remuneration in excess of Rs.24,00,000 p.a. or Rs.2,00,000 p.m. if employed for part of the year as prescribed under section 217 (2) (A) of the Companies Act, 1956.

Note No.4 Disclosure regarding computation of EPS in accordance with AS-20

Note No.5 Segment Reporting (AS-17)

The Company is primarily engaged in the business of manufacture and sale of steel Tube/Pipes and its revenue from trading segment is not significant. As such the accounting standard on segment reporting is not applicable.

Related Parties with whom transaction have taken place during the year and balances outstanding as on the last day of the year;

A. List of Related Parties

Enterprises over which Key Management Personnel (KMP) and Relatives of such personnel exercise significant control

1. M/s Advance Hightech Agro Products Pvt. Ltd

2. M/s Ravi Developers Pvt. Ltd.

3. M/s Gujarat Hi-Tech Steel Pvt. Ltd.

4. M/s Harbans Lal (HUF)

5. M/s Naresh Kumar & Sons (HUF)

Key Management Personnel

1. Mr. Naresh Bansal

2. Mr. Richi Bansal

3. Mr.Surender Kumar Sharma

Relatives of Key Manangement Personnel

1. Ms. Kumud Bansal

2. Ms. Krati Bansal

3. Mr. Nikhil Bansal

4. Master Ishaan Bansal

5. Ms. Reeta Rani

6. Ms. Parveen Bansal

Long Term Loans & Advances vide Note No.11 include Advances against Capital Account of Rs.21,61,225/- given as Advance against Mumbai Land Development. The aforesaid Land is in the name of the company.

Note No.6

On the basis of information available with the company, it does not owe any outstanding dues towards Small Scale Industrial Undertaking amended Schedule VI of the companies Act, 1956 vide Notification NO. GSR 129 (E) dated 22.02.99, in case the sum owned is Rs. 1.00 Lac or more which is outstanding for more than 30 days as at 31st March, 2013.

Note No.7

On the basis of information available with the company, the Company does not have any amounts due to suppliers under the Micro, Small and Medium Enterprises covered under the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act) as at 31st March 2013.

Note No.8

Amounts except number of shares and earnings per share are rounded off to the nearest rupees.

Note No.9

The figures of previous year have been regrouped / rearranged wherever considered necessary.

Note No.10

Significant accounting policies and practices adopted by the company are disclosed in the statement annexed to these financial statements as Annexure 1.

Mar 31, 2012

1. Contingent liability not provided for in respect of :

a) Bank Guarantees of Rs.767.46 Lacs (Previous year Rs.862.82 Lacs).

b) Bills Discounted of Rs.54.86 Lacs (Previous Year Rs.301.05 Lacs)

c) Leave Encashment of Rs.2.58 Lacs (Previous Year Rs.1.92 Lacs)

d) Accrued Liability in respect of Gratuity Outstanding of Rs.28.90 Lacs (Previous Year Rs.25.70 Lacs)

e) Outstanding letters of credit amounting to Rs.125.00 Lacs. (Previous year Rs.125.00 Lacs)

f) Entry Tax Payable Rs.111.42 Lacs (Previous Year NIL)

g) Corporate Guarantees of Rs.3000.00 Lacs (previous Year NIL) given to Union Bank of India on account of Bank Guarantees furnished by Union Bank of India to the Jammu & Kashmir Govt on account of contracts awarded to M/s Pir Panchal Construction Pvt.Ltd., Joint Venture, an association of person, in which our company is one of the participant.

2. During the Year the Petition filed by the company, challenging the Entry Tax (on Purchases) imposed by U.P VAT Authorities, was rejected by the Hon'ble High Court of Allahabad, holding the imposition of Entry Tax as lawful. The verdict of the hon'ble Court accrued Entry Tax Liability amounting to Rs.2,21,36,566/- upon the Company towards the UP Commercial Taxes Department. The Company has filed a petition in the hon'ble Supreme Court challenging the verdict of Allahabad High Court. Further in accordance with the directions of the hon'ble Supreme Court, the Company has paid a sum of Rs.1,11,41,669/- to the Department and gave the Bank Guarantee for the balance amount of Rs.1,09,94,897/-. The Case is still pending in the Court of Law. As the Company is of the opinion that eventually no liability shall accrue to the company on this issue, it did not provide for this Entry Tax Liability on Purchases (Previous Year NIL).

(A) The company filed one civil suit against MPSEB, JABLAPUR for cancellation of Bank Guarantee invoked by MPSEB, JABLAPUR amounting to Rs. 9,41,700/- in the civil court Jabalpur. The Suit has been decided in favour of the Company against which MPSEB has preferred Appeal. As such the Case is still subjudice. The company is of the view that it would get favourable verdict and no demand would be eventually sustained in any of the pending matters. Accordingly, no provision is made in the books in respect of these contingent liabilities.

(B)The Company has filed civil suit for Rs. 45,35,667/- , against one of its debtor for recovery of dues in respect of goods supplied to them against LCs. The matter is pending in Delhi High Court.

3. None of the employees was in receipt of remuneration in excess of Rs.24,00,000 p.a. or Rs.2,00,000 p.m. if employed for part of the year as prescribed under section 217 (2) (A) of the Companies Act, 1956.

4. The Company is primarily engaged in the business of manufacture and sale of steel Tube/Pipes and its revenue from trading segment is not significant. As such the accounting standard on segment reporting is not applicable.

Related Parties with whom transaction have taken place during the year and balances outstanding as on the last day of the year;

5. List of Related Parties

Enterprises over which Key Management Personnel (KMP) and Relatives of such personnel exercise significant control

1. M/s Advance Hightech Agro Products Pvt. Ltd.

2. M/s Hi Tech Pipes Ltd.

3. M/s Harso Steels Pvt. Ltd.

4. M/s Ravi Developers Pvt. Ltd.

5. M/s Gujarat Hi-Tech Steel Pvt. Ltd.

6. M/s Harbans Lal (HUF)

7. M/s Naresh Kumar & Sons (HUF)

8. M/s Richi Bansal (HUF)

Key Management Personnel

1. Mr. Naresh Bansal

2. Mr. Richi Bansal

3. Mr.Subhash Chander Khurana

Relatives of Key Manangement Personnel

1. Ms. Kumud Bansal

2. Ms. Krati Bansal

3. Mr. Nikhil Bansal

4. Master Ishaan Bansal

5. Ms. Reeta Rani

6. Ms. Parveen Bansal

6. The outstanding balances of Sundry Debtors/Creditors in the books of the company are subject to confirmation.

7. Long Term Loans & Advances vide Note No.11 include Advances against Capital Account of Rs.21,61,225/- given as Advance against Mumbai Land Development. The aforesaid Land is in the name of the company.

8. On the basis of information available with the company, it does not owe any outstanding dues towards Small Scale Industrial Undertaking amended Schedule VI of the companies Act, 1956 vide Notification NO.GSR 129 (E) dated 22.02.99, in case the sum owned is Rs. 1.00 Lac or more which is outstanding for more than 30 days as at 31st March, 2012.

9. On the basis of information available with the company, the Company does not have any amounts due to suppliers under the Micro, Small and Medium Enterprises covered under the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act) as at 31st March 2012.

10. Amounts except number of shares and earnings per share are rounded off to the nearest rupees.

11. The figures of previous year have been regrouped / rearranged wherever considered necessary.

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