Notes to Accounts of SAR Auto Products Ltd.

Mar 31, 2025

K. Provisions, Contingent Liabilities & Contingent Assets
(i) Provisions

Provisions are recognised when the Company has a present obligation (legal or constructive)
as a result of a past event, it is probable that the Company will be required to settle the
obligation, and a reliable estimate can be made of the amount of the obligation. The amount
recognised as a provision is the best estimate of the consideration required to settle the
present obligation at the end of the reporting period, taking into account the risks and
uncertainties surrounding the obligation.

Long-term provisions are determined by discounting the expected future cash flows at a pre¬
tax rate that reflects current market assessments of the time value of money. Short term
provisions are carried at their redemption value and are not offset against receivables from
reimbursements.

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.

Contingent Assets are neither recognized nor disclosed in the Notes forming part of the
Financial Statements

L. Earnings per Share:

Basic Earnings Per Share are calculated by dividing the net profit or loss [excluding
other comprehensive income] for the period attributable to Equity Shareholders by the
Weighted Average Number of Equity Shares outstanding during the period. Earnings
considered in ascertaining the Company''s Earnings per Share are the Net Profit after Tax for
the Year. The Weighted Average Numbers of Equity Shares outstanding during the period are
adjusted for events of Bonus Issue and Sub-division of Shares.

For the purpose of calculating diluted earnings per share, the net profit or loss [excluding
other comprehensive income] for the year attributable to equity share holders and the
weighted average number of shares outstanding during the year are adjusted for the effects of
all dilutive potential equity shares.

M. Exceptional items:

Certain occasions, the size, type or incidence of an item of income or expense, pertaining to
the ordinary activities of the Company is such that its disclosure improves the understanding
of the performance of the Company, such income or expense is classified as an exceptional
item and accordingly, disclosed in the notes accompanying to the financial statements.

NOTE: 2

USE OF JUDGEMENTS, ESTIMATES AND ASSUMPTIONS

While preparing financial statements in conformity with Ind AS, the management has made certain
estimates and assumptions that require subjective and complex judgments. These judgments affect
the application of accounting policies and the reported amount of assets, liabilities, income and
expenses, disclosure of contingent liabilities at the statement of financial position date and the
reported amount of income and expenses for the reporting period. Financial reporting results rely on
the management estimate of the effect of certain matters that are inherently uncertain. Future
events rarely develop exactly as forecasted and the best estimates require adjustments, as actual
results may differ from these estimates under different assumptions or conditions. Estimates and
underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are
recognized prospectively.

Judgment, estimates and assumptions are required in particular for:

a) Recognition and measurement of defined benefit obligations

The obligation arising from defined benefit plan is determined on the basis of actuarial
assumptions. Key actuarial assumptions include discount rate, trends in salary escalation, actuarial
rates and life expectancy. The discount rate is determined by reference to market yields at the
end of the reporting period on government bonds. The period to maturity of the underlying bonds
correspond to the probable maturity of the post-employment benefit obligations. Due to
complexities involved in the valuation and its long term nature, defined benefit obligation is highly
sensitive to changes in these assumptions. All assumptions are reviewed at each reporting period.

b) Recognition of deferred tax liabilities

Deferred tax assets and liabilities are recognized for the future tax consequences of temporary
differences between the carrying values of assets and liabilities and their respective tax bases, and
unutilized business loss and depreciation carry-forwards and tax credits. Deferred tax assets are
recognized to the extent that it is probable that future taxable income will be available against
which the deductible temporary differences, unused tax losses, depreciation carry-forwards and
unused tax credits could be utilized.

c) Discounting of financial assets / liabilities

All financial assets / liabilities are required to be measured at fair value on initial recognition. In
case of financial assets / liabilities which are required to be subsequently measured at amortized
cost, interest is accrued using the effective interest method.

d) Provisions

Significant estimates are involved in the determination of provisions. The Company records a
provision for onerous sales contracts when current estimates of total contract costs exceed
expected contract revenue. The provision for expenses is based on the best estimate required to
settle the present obligation at the end of the reporting period.

Legal proceedings often involve complex legal issues and are subject to substantial uncertainties.
Accordingly, considerable judgment is part of determining whether it is probable that there is a
present obligation as a result of a past event at the end of the reporting period, whether it is
probable that such a Legal Proceeding will result in an outflow of resources and whether the
amount of the obligation can reliably estimated. Internal and external counsels are generally part
of the determination process.

36 Capital Management

The Company''s capital management is intended to create value for shareholders by facilitating the achievement
of long term and short term goals of the Company.

The Company determines the amount of capital required on the basis of annual business plan coupled with long
term and short term strategic investment and expansion plans. The funding needs are met through equity, cash
generated from operations, long term and short term bank borrowings and unsecured loans from directors.

The Company monitors the capital structure on the basis of net debt to equity ratio and maturity profile of the
overall debt portfolio of the Company.

Net debt includes borrowings less cash and cash equivalents and other bank balances (including non-current
and earmarked balances).

The table below summarizes the capital, net debt and net debt to equity ratio of the Company.

37 Risk Management:

The Company''s activities expose it to market risk, liquidity risk and credit risk.

This note explains the sources of risk which the entity is exposed to and how the entity manages the risk and
the related impact in the financial statements.

The Company''s risk management is done in close co-ordination with the board of directors and focuses on
actively securing the Company''s short, medium and long-term cash flows by minimizing the exposure to volatile
financial markets. Long-term financial investments are managed to generate lasting returns. The Company does
not actively engage in the trading of financial assets for speculative purposes nor does it write options.

The most significant financial risks to which the Company is exposed are described below:

a) Credit risk:

Trade Receivable: The Company trades with recognized and credit worthy parties. It is the Company''s policy
that all customers who wish to trade on credit terms are subject to credit verification procedures. In addition,
receivable balances are monitored on an on-going basis with the result that the Company''s exposure to bad
debts is not significant.

The Company is exposed to credit risk in the event of non-payment by customers. Credit risk concentration
with respect to trade receivables is mitigated by the Company''s large customer base. Adequate expected credit
losses are recognized as per the assessments.

b) Liquidity risk:

Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the
availability of funding through an adequate amount of committed credit facilities to meet obligations when due.
Due to the nature of the business, the Company maintains flexibility in funding by maintaining availability under
committed facilities.

Management monitors rolling forecasts of the Company''s liquidity position and cash and cash equivalents on
the basis of expected cash flows. The Company takes into account the liquidity of the market in which it
operates. In addition, the Company''s liquidity management policy involves projecting cash flows and
considering the level of liquid assets necessary to meet these, monitoring balance sheet liquidity ratios against
internal and external regulatory requirements and maintaining debt financing plans.

Maturities of financial liabilities:

The tables below analyse the Company''s financial liabilities into relevant maturity groupings based on their
contractual maturities for all non-derivative financial liabilities. The amounts disclosed in the table are the
contractual undiscounted cash flows. Balances due within 12 months equal their carrying balances as the
impact of discounting is not significant.

c) Interest Rate risk

Liabilities:

The Company''s policy is to minimise interest rate cash flow risk exposures on long-term financing. As at March
31, 2025, the Company is exposed to changes in market interest rates through bank borrowings at variable
interest rates. The Company''s investments in Fixed Deposits are at fixed interest rates.

38. Other statutory information

(i) Contingent Liabilities not provided for NIL

(ii) Estimated amount of Contract remaining to be executed on Capital Accounts and not provided for, net of
advance is - NIL ( Previous year - 8.00L)

(iii) The Company is working in single segment namely the manufacturing Segment includes manufacturing
of gears, gear boxes and other transmission components

(iv) The Company does not have any Benami property, where any proceeding has been initiated or pending
against the Group for holding any Benami property.

(v) The Company does not have any transactions with companies struck off.

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

(vii) The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.

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

(ix) 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

(x) 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 Group 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

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

(xii) According to the opinion of the management of the Company the value of realization of Trade & Other
Receivables and Loans & Advances given in the ordinary course of business would not be less than the
amount at which they are stated in the Balance sheet.

(xiii) The amounts received from directors before 1st April, 2014 amounting to '' 21,000 have been disclosed in
Note No. 19 of Notes forming part of Financial Statements under the head Short term borrowings From
Directors.

(xiv) Previous year''s figure have been regrouped/reclassified wherever necessary to confirm with the current
year''s presentation.

See accompanying Statement on Significant accounting policies & Notes to Accounts

As per my Report of even date For & on behalf of the Board of Directors,

For J. A. Sheth & Associates,

Chartered Accountants

(Firm Registration No. 119980W)

Rameshkumar D. Virani Shreyas R. Virani
Managing Director Whole Time Director

Jingal A. Sheth & CFO

Proprietor (DIN: 00313236) (DIN: 00465240)

(Membership No.107067)

UDIN : 25107067BMLFCC2985

Zalak K. Upadhyay
Company Secretary
Mem. No.: A44319

Rajkot, Dated May 12, 2025 Rajkot, Dated May 12, 2025

---

Mar 31, 2024

15.2 The Company has only one class of equity shares of face value of Rs. 10 each carrying one voting right for each equity share held.

In the event of the Liquidation of the company, the equity shareholders are eligible to receive the remaining assets of the company, after distribution of all preferential amounts. The distribution will be in the proportion to the number of the equity shares held by the shareholders.

34 Disclosure Pursuant To Ind AS 19 - Employee Benefits34.1 Defined Contribution Plan

The Company has recognized Rs. 3.87 Lakhs & Rs. 3.62 Lakhs in the Statement of Profit & Loss for the year ended 31^st March, 2024 & 31^st March, 2023 respectively under Defined Contribution Plan.

34.2 Defined Benefit Plan

The following table summaries the component of Net Benefit Expenses recognized in the Statement of Profit & Loss and amounts recognized in the Balance Sheet as per Actuarial Valuation Report.

The estimates of rate of escalation in future salary considered in Actuarial Valuation, take into account inflation, seniority, promotion and other relevant factors including supply & demand in the Employement Market. The above information is certified by The Actuary.

35 Fair Value Measurements [Amount in Lakhs]

II. Fair value hierarchy

The following table provides an analysis of financial instruments that are measured subsequent to initial recognition at fair value, grouped into Level 1 to Level 3, as described below:

Quoted prices in an active market (Level 1): This level of hierarchy includes financial assets that are measured by reference to quoted prices (unadjusted) in active markets for identical assets or liabilities.

II. Fair value hierarchy (Cont.)

Valuation techniques with observable inputs (Level 2): This level of hierarchy includes financial assets and liabilities, measured using inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices). This level of hierarchy includes the Company''s investments in Gold Funds; prices of which have been derived from MCX.

Valuation techniques with significant unobservable inputs (Level 3): This level of hierarchy includes financial assets and liabilities measured using inputs that are not based on observable market data (unobservable inputs). Fair values are determined in whole or in part, using a valuation model based on assumptions that are neither supported by prices from observable current market transactions in the same instrument nor are they based on available market data. This level includes investment in unquoted equity shares.

>gj Financial Assets:

The Carrying amounts of trade receivables, loans and advances and other financial assets, cash and cash equivalents are considered to be the approximately equal to the fair values.

> Financial Liabilities

Fair values of Loans from banks, other financial liabilities and trade payables are considered to be approximately equal to the carrying values.

> Investments carried at fair value are generally based on market price quotations. The investments included in the level 3 of the fair value hierarchy have been

valued using the cost approach to arrive at their fair value. Cost of unquoted equity instruments has been considered as an appropriate estimate of fair value because of a wide range of possible fair value measurements and cost represents the best estimate of fair value within that range.

> Management uses its best judgment in estimating the fair value of its financial instruments. However, there are inherent limitations in any estimation technique.

Therefore, for substantially all financial instruments, the fair value estimates presented above are not necessarily indicative of the amounts that the Company could have realised or paid in sale transactions as of respective dates. As such, fair value of financial instruments subsequent to the reporting dates may be different from the amounts reported at each reporting date.

36 Capital Management

The Company''s capital management is intended to create value for shareholders by facilitating the achievement of long term and short term goals of the Company.

The Company determines the amount of capital required on the basis of annual business plan coupled with long term and short term strategic investment and expansion plans. The funding needs are met through equity, cash generated from operations, long term and short term bank borrowings and unsecured loans from directors.

The Company monitors the capital structure on the basis of net debt to equity ratio and maturity profile of the overall debt portfolio of the Company.

Net debt includes borrowings less cash and cash equivalents and other bank balances (including non-current and earmarked balances).

37 Risk Management:

The Company''s activities expose it to market risk, liquidity risk and credit risk.

This note explains the sources of risk which the entity is exposed to and how the entity manages the risk and the related impact in the financial statements.

The Company''s risk management is done in close co-ordination with the board of directors and focuses on actively securing the Company''s short, medium and long-term cash flows by minimizing the exposure to volatile financial markets. Long-term financial investments are managed to generate lasting returns. The Company does not actively engage in the trading of financial assets for speculative purposes nor does it write options.

The most significant financial risks to which the Company is exposed are described below:

a) Credit risk:

Trade Receivable: The Company trades with recognized and credit worthy parties. It is the Company''s policy that all customers who wish to trade on credit terms are subject to credit verification procedures. In addition, receivable balances are monitored on an on-going basis with the result that the Company''s exposure to bad debts is not significant.

The Company is exposed to credit risk in the event of non-payment by customers. Credit risk concentration with respect to trade receivables is mitigated by the Company''s large customer base. Adequate expected credit losses are recognized as per the assessments.

b) Liquidity risk:

Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability of funding through an adequate amount of committed credit facilities to meet obligations when due. Due to the nature of the business, the Company maintains flexibility in funding by maintaining availability under committed facilities.

Management monitors rolling forecasts of the Company''s liquidity position and cash and cash equivalents on the basis of expected cash flows. The Company takes into account the liquidity of the market in which it operates. In addition, the Company''s liquidity management policy involves projecting cash flows and considering the level of liquid assets necessary to meet these, monitoring balance sheet liquidity ratios against internal and external regulatory requirements and maintaining debt financing plans.

Maturities of financial liabilities:

The tables below analyse the Company''s financial liabilities into relevant maturity groupings based on their contractual maturities for all non-derivative financial liabilities. The amounts disclosed in the table are the contractual undiscounted cash flows. Balances due within 12 months equal their carrying balances as the impact of discounting is not significant.

c) Interest Rate risk

Liabilities:

The Company''s policy is to minimise interest rate cash flow risk exposures on long-term financing. As at March 31, 2024, the Company is exposed to changes in market interest rates through bank borrowings at variable interest rates. The Company''s investments in Fixed Deposits are at fixed interest rates.

38. Other statutory information

(i) Contingent Liabilities not provided for NIL

(ii) Estimated amount of Contract remaining to be executed on Capital Accounts and not provided for, net of advance is - NIL ( Previous year - NIL)

(iii) The Company is working in single segment namely the manufacturing Segment includes manufacturing of gears, gear boxes and other transmission components

(iv) The Company does not have any Benami property, where any proceeding has been initiated or pending against the Group for holding any Benami property.

(v) The Company does not have any transactions with companies struck off.

(vi) The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond

the statutory period.

(vii) The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.

(viii) The Company has not been declared wilful defaulter by any bank or financial institution or government or

any government authority.

(ix) 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

(x) 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 Group 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

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

(xii) According to the opinion of the management of the Company the value of realization of Trade & Other Receivables and Loans & Advances given in the ordinary course of business would not be less than the amount at which they are stated in the Balance sheet.

(xiii) The amounts received from directors before 1st April, 2014 amounting to '' 21,000 have been disclosed in Note No. 19 of Notes forming part of Financial Statements under the head Short term borrowings From Directors.

(xiv) Previous year''s figure have been regrouped/reclassified wherever necessary to confirm with the current year''s presentation.

---

Mar 31, 2023

K. Provisions, Contingent Liabilities & Contingent Assets

(i) Provisions

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that the Company will be required to settle the obligation, and a reliable estimate can be made of the amount of the obligation. The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the obligation.

Long-term provisions are determined by discounting the expected future cash flows at a pretax rate that reflects current market assessments of the time value of money. Short term provisions are carried at their redemption value and are not offset against receivables from reimbursements.

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.

Contingent Assets are neither recognized nor disclosed in the Notes forming part of the Financial Statements

L. Earnings per Share:

Basic Earnings Per Share are calculated by dividing the net profit or loss [excluding other comprehensive income] for the period attributable to Equity Shareholders by the Weighted Average Number of Equity Shares outstanding during the period. Earnings considered in ascertaining the Company''s Earnings per Share are the Net Profit after Tax for the Year. The Weighted Average Numbers of Equity Shares outstanding during the period are adjusted for events of Bonus Issue and Sub-division of Shares.

For the purpose of calculating diluted earnings per share, the net profit or loss [excluding other comprehensive income] for the year attributable to equity share holders and the weighted average number of shares outstanding during the year are adjusted for the effects of all dilutive potential equity shares.

M. Exceptional items:

Certain occasions, the size, type or incidence of an item of income or expense, pertaining to the ordinary activities of the Company is such that its disclosure improves the understanding of the performance of the Company, such income or expense is classified as an exceptional item and accordingly, disclosed in the notes accompanying to the financial statements.

USE OF JUDGEMENTS, ESTIMATES AND ASSUMPTIONS

While preparing financial statements in conformity with Ind AS, the management has made certain estimates and assumptions that require subjective and complex judgments. These judgments affect the application of accounting policies and the reported amount of assets, liabilities, income and expenses, disclosure of contingent liabilities at the statement of financial position date and the reported amount of income and expenses for the reporting period. Financial reporting results rely on the management estimate of the effect of certain matters that are inherently uncertain. Future events rarely develop exactly as forecasted and the best estimates require adjustments, as actual results may differ from these estimates under different assumptions or conditions. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized prospectively.

Judgment, estimates and assumptions are required in particular for:

a) Recognition and measurement of defined benefit obligations

The obligation arising from defined benefit plan is determined on the basis of actuarial assumptions. Key actuarial assumptions include discount rate, trends in salary escalation, actuarial rates and life expectancy. The discount rate is determined by reference to market yields at the end of the reporting period on government bonds. The period to maturity of the underlying bonds correspond to the probable maturity of the post-employment benefit obligations. Due to complexities involved in the valuation and its long term nature, defined benefit obligation is highly sensitive to changes in these assumptions. All assumptions are reviewed at each reporting period.

b) Recognition of deferred tax liabilities

Deferred tax assets and liabilities are recognized for the future tax consequences of temporary differences between the carrying values of assets and liabilities and their respective tax bases, and unutilized business loss and depreciation carry-forwards and tax credits. Deferred tax assets are recognized to the extent that it is probable that future taxable income will be available against which the deductible temporary differences, unused tax losses, depreciation carry-forwards and unused tax credits could be utilized.

c) Discounting of financial assets / liabilities

All financial assets / liabilities are required to be measured at fair value on initial recognition. In case of financial assets / liabilities which are required to be subsequently measured at amortized cost, interest is accrued using the effective interest method.

d) Provisions

Significant estimates are involved in the determination of provisions. The Company records a provision for onerous sales contracts when current estimates of total contract costs exceed expected contract revenue. The provision for expenses is based on the best estimate required to settle the present obligation at the end of the reporting period.

Legal proceedings often involve complex legal issues and are subject to substantial uncertainties. Accordingly, considerable judgment is part of determining whether it is probable that there is a present obligation as a result of a past event at the end of the reporting period, whether it is probable that such a Legal Proceeding will result in an outflow of resources and whether the amount of the obligation can reliably estimated. Internal and external counsels are generally part of the determination process.

Financial Assets:

The Carrying amounts of trade receivables, loans and advances and other financial assets, cash and cash equivalents are considered to be the approximately equal to the fair values.

Financial Liabilities

Fair values of Loans from banks, other financial liabilities and trade payables are considered to be approximately equal to the carrying values.

Investments carried at fair value are generally based on market price quotations. The investments included in the level 3 of the fair value hierarchy have been valued using the cost approach to arrive at their fair value. Cost of unquoted equity instruments has been considered as an appropriate estimate of fair value because of a wide range of possible fair value measurements and cost represents the best estimate of fair value within that range.

Management uses its best judgment in estimating the fair value of its financial instruments. However, there are inherent limitations in any estimation technique. Therefore, for substantially all financial instruments, the fair value estimates presented above are not necessarily indicative of the amounts that the Company could have realised or paid in sale transactions as of respective dates. As such, fair value of financial instruments subsequent to the reporting dates may be different from the amounts reported at each reporting date.

36 Capital Management

The Company''s capital management is intended to create value for shareholders by facilitating the achievement of long term and short term goals of the Company.

The Company determines the amount of capital required on the basis of annual business plan coupled with long term and short term strategic investment and expansion plans. The funding needs are met through equity, cash generated from operations, long term and short term bank borrowings and unsecured loans from directors.

The Company monitors the capital structure on the basis of net debt to equity ratio and maturity profile of the overall debt portfolio of the Company.

Net debt includes borrowings less cash and cash equivalents and other bank balances (including non-current and earmarked balances).

37 Risk Management:

The Company''s activities expose it to market risk, liquidity risk and credit risk.

This note explains the sources of risk which the entity is exposed to and how the entity manages the risk and the related impact in the financial statements.

The Company''s risk management is done in close co-ordination with the board of directors and focuses on actively securing the Company^ short, medium and long-term cash flows by minimizing the exposure to volatile financial markets. Long-term financial investments are managed to generate lasting returns. The Company does not actively engage in the trading of financial assets for speculative purposes nor does it write options.

The most significant financial risks to which the Company is exposed are described below:

a) Credit risk:

Trade Receivable: The Company trades with recognized and credit worthy parties. It is the Company''s policy that all customers who wish to trade on credit terms are subject to credit verification procedures. In addition, receivable balances are monitored on an on-going basis with the result that the Company''s exposure to bad debts is not significant.

The Company is exposed to credit risk in the event of non-payment by customers. Credit risk concentration with respect to trade receivables is mitigated by the Company''s large customer base. Adequate expected credit losses are recognized as per the assessments.

b) Liquidity risk:

Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability of funding through an adequate amount of committed credit facilities to meet obligations when due. Due to the nature of the business, the Company maintains flexibility in funding by maintaining availability under committed facilities.

Management monitors rolling forecasts of the Company''s liquidity position and cash and cash equivalents on the basis of expected cash flows. The Company takes into account the liquidity of the market in which it operates. In addition, the Company''s liquidity management policy involves projecting cash flows and considering the level of liquid assets necessary to meet these, monitoring balance sheet liquidity ratios against internal and external regulatory requirements and maintaining debt financing plans.

38. Other statutory information

(i) Contingent Liabilities not provided for NIL

(ii) Estimated amount of Contract remaining to be executed on Capital Accounts and not provided for, nei of advance is - NIL ( Previous year - NIL)

(iii) The Company is working in single segment namley the manufacturing Segment includes manufacturing of gears, gear boxes and other transmission components

(iv) The Company does not have any Benami property, where any proceeding has been initiated or pending against the Group for holding any Benami property.

(v) The Company does not have any transactions with companies struck off.

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

(vii) The Company has not traded or invested in Crypto currency or Virtual Currency during the financia year.

(viii) The Company has not been declared wilful defaulter by any bank or financial institution or governmen or any government authority.

(ix) 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

(x) 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 Group 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

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

^(xii) According to the opinion of the management of the Company the value of realization of Trade & Other Receivables and Loans & Advances given in the ordinary course of business would not be less than the amount at which they are stated in the Balance sheet.

(xiii) The amounts received from directors before 1st April, 2014 amounting to '' 21,000 have been disclosed in Note No. 7 of Notes forming part of Financial Statements under the head Short term borrowings From Directors.

(xiv) Previous year''s figure have been regrouped/reclassified wherever necessary to confirm with the current year''s presentation.

See accompanying Statement on Significant accounting policies & Notes to Accounts

For & on behalf of the Board of

As per our Report of even date Directors,

For J. A. Sheth & Associates,

Chartered Accountants (Firm Registration No. 119980W)

Ramesh D. Virani Shreyas R. Virani

Jingal A. Sheth Managing Director Whole Time Director & CFO

Proprietor (DIN: 00313236) (DIN: 00465240)

(Membership No.107067)

UDIN : 23107067BGYBTW6097

Zalak K. Upadhyay Company Secretary A44319

Rajkot, Dated May 13, 2023 Rajkot, Dated May 13, 2023

---

Mar 31, 2018

NOTE: 1

1.1 CORPORATE INFORMATION

Sar Auto Products Limited is a company limited by shares with domicile in India. It is incorporated under the provisions of the Companies Act, 1956. The Company’s main object is to manufacture gears, gear boxes and other transmission components.

The Financial statements of the company for the year ended 31^st March, 2018 were authorised for issue in accordance with a resolution of the Board of Directors on 29^th May, 2018.

1.2 BASIS OF PREPARATION

I. Compliance with Ind AS

The financial statements comply in all material aspects with Indian Accounting Standards (“Ind AS”) notified under section 133 of the Companies Act, 2013 (“the Act”), Companies (Indian Accounting Standards) Rules, 2015 as amended by Companies (Indian Accounting Standards) (Amendment) Rules, 2016 and other relevant provisions of the Act as applicable.

The financial statements up to year ended March 31, 2017 were prepared in accordance with the Accounting Standards notified under section 133 of the Act read together with paragraph 7 of the Companies (Accounts) Rules, 2014 (“Indian GAAP”) and other relevant provisions of the Act as applicable.

These financial statements are the Company’s first Ind AS financial statements and are covered by Ind AS 101- First time Adoption of Indian Accounting Standards. The transition to Ind AS has been carried out from the accounting principles generally accepted in India (“Indian GAAP”) which is considered as the ‘Previous GAAP’ for purposes of Ind AS 101. An explanation of how the transition to Ind AS has affected the Company’s financial position, financial performance and cash flows is provided in Note 35(c) of the financial statement.

II. Historical cost convention

The financial statements have been prepared on a historical cost basis, except following:

(i) Certain financial assets and liabilities that are measured at fair value;

(ii) Defined benefit plans - plan assets measured at fair value.

III. Functional and presentation currency

These financial statements are presented in Indian Rupees, which is Company’s functional currency, and all values are rounded to the nearest except otherwise indicated.

NOTE: 2 USE OF JUDGEMENTS, ESTIMATES AND ASSUMPTIONS

While preparing financial statements in conformity with Ind AS, the management has made certain estimates and assumptions that require subjective and complex judgments. These judgments affect the application of accounting policies and the reported amount of assets, liabilities, income and expenses, disclosure of contingent liabilities at the statement of financial position date and the reported amount of income and expenses for the reporting period. Financial reporting results rely on the management estimate of the effect of certain matters that are inherently uncertain. Future events rarely develop exactly as forecasted and the best estimates require adjustments, as actual results may differ from these estimates under different assumptions or conditions. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized prospectively.

Judgment, estimates and assumptions are required in particular for:

a) Recognition and measurement of defined benefit obligations

The obligation arising from defined benefit plan is determined on the basis of actuarial assumptions. Key actuarial assumptions include discount rate, trends in salary escalation, actuarial rates and life expectancy. The discount rate is determined by reference to market yields at the end of the reporting period on government bonds. The period to maturity of the underlying bonds correspond to the probable maturity of the post-employment benefit obligations. Due to complexities involved in the valuation and its long term nature, defined benefit obligation is highly sensitive to changes in these assumptions. All assumptions are reviewed at each reporting period.

b) Recognition of deferred tax liabilities

Deferred tax assets and liabilities are recognized for the future tax consequences of temporary differences between the carrying values of assets and liabilities and their respective tax bases, and unutilized business loss and depreciation carry-forwards and tax credits. Deferred tax assets are recognized to the extent that it is probable that future taxable income will be available against which the deductible temporary differences, unused tax losses, depreciation carry-forwards and unused tax credits could be utilized.

c) Discounting of financial assets / liabilities

All financial assets / liabilities are required to be measured at fair value on initial recognition. In case of financial assets / liabilities which are required to be subsequently measured at amortized cost, interest is accrued using the effective interest method.

d) Provisions

Significant estimates are involved in the determination of provisions. The Company records a provision for onerous sales contracts when current estimates of total contract costs exceed expected contract revenue. The provision for expenses is based on the best estimate required to settle the present obligation at the end of the reporting period.

Legal proceedings often involve complex legal issues and are subject to substantial uncertainties. Accordingly, considerable judgment is part of determining whether it is probable that there is a present obligation as a result of a past event at the end of the reporting period, whether it is probable that such a Legal Proceeding will result in an outflow of resources and whether the amount of the obligation can e reliably estimated. Internal and external counsels are generally part of the determination process

3.1 The Company has only one class of equity shares of face value of ? 10 each carrying one voting right for each equity share held.

In the event of the Liquidation of the company, the equity shareholders are eligible to receive the remaining assets of the company, after distribution of all preferential amounts. The distribution will be in the proportion to the number of the equity shares held by the shareholders.

*Note: The Government of India introduced Goods and Service Tax (GST) with effect from 1^st July 2017 which replaced excise duty. Consequently the revenue from operations for period 1^st July, 2017 to 31^st March, 2018 is net of GST. However the revenue from operations for the period of 1^st April, 2017 to 30^th June, 2017 includes excise duty recovered on sales of Rs. 11,91,471 and year ended 31^st March, 2017 includes excise duty recovered on sales of Rs. 59,54,751

4 Disclosure Pursuant To Ind AS 19 - Employee Benefits

4.1 Defined Contribution Plan

The Company has recognized Rs. 76,330/- & ’ 1,05,338/- in the Statement of Profit & Loss for the year ended 31^st March, 2018 & 31^st March, 2017 respectively under Defined Contribution Plan.

4.2 Defined Benefit Plan

The following table summaries the component of Net Benefit Expenses recognized in the Statement of Profit & Loss and amounts recognized in the Balance Sheet as per Actuarial Valuation Report.

5. Segment Information

As per Indian Accounting Standard 108 ‘Operating Segment’, the Company has reported ‘Segment Information’, as descreibed below:

a) The manufacturing Segment includes manufacturing of gears, gear boxes and other transmission components

b) The construction segment includes business of real estate development

Revenues and Expenses directly attributable to segments are reported under each reportable segment. Expenses which are not directly identifiable to a particular segment have been allocated on the basis of associated revenues of the segments. All other expenses which relate to enterprise as a whole and are not attributable / allocable to a segment on reasonable basis have been disclosed as “Unallocable”.

Assets and Liabilities that are directly attributable / allocable to segments are disclosed under each reportable segment. All other assets and liabilities are disclosed as unallocable. Fixed assets that are used interchangeably among segments are not allocated to primary and secondary segments.

Note 6

D. NOTES TO FIRST TIME ADOPTION OF IND AS

1. Fair valuation of investments

Under the previous GAAP, investments in equity instruments and mutual funds were classified as long-term investments or current investments based on the intended holding period and readability. Long-term investments were carried at cost less provision for other than temporary decline in the value of such investments. Current investments were carried at lower of cost and fair value. Under Ind AS, these investments are required to be measured at fair value. The resulting fair value changes of these investments (other than equity instruments as at FVOCI) have been recognized in retained earnings as at the date of transition and subsequently in the profit and loss for the year ended March 31, 2017. This decreased profit by Rs. 28,492 as at March 31, 2017 and there is no impact on other reserves as at April 1, 2016.

Fair value changes with respect to investments in equity instruments designated as at FVOCI have been recognized in FVOCI - Equity investments reserve as at the date of transition and subsequently in the other comprehensive income for the year ended March 31, 2017 This increased other reserves by Rs. 1,803 as at March 31, 2017 and there is decrease in other reserve by Rs. 6,762 as at April 1, 2016.

2. Retained Earnings

Retained earnings as at April 1, 2016 has been adjusted consequent to the above Ind AS adjustments.

3. Deferred tax

Deferred tax has been recognized on the adjustments made on transition to Ind AS.

4. Remeasurements of post-employment benefit obligations

Under Ind AS, remeasurements i.e, actuarial gains and losses and the return on plan assets, excluding amounts included in the net interest expense on the net defined benefit liability are recognized in other comprehensive income instead of profit and loss. Under the previous GAAP, these remeasurements were forming part of the profit and loss for the year. As a result of this change, the profit for the year ended March 31, 2017 decreased by Rs. 49,820. There is no impact on the total equity as at March 31, 2017.

5. Other Comprehensive Income

Under Ind AS, all items of income and expense recognized in a period should be included in Statement of Profit and Loss for the period, unless a standard requires or permits otherwise. Items of income and expenses that are not recognized in Statement of Profit and Loss but are shown in the Statement of Profit and Loss as “Other Comprehensive Income”, includes remeasurement of Employee Benefit obligation and fair valuation of Equity Instruments through OCI and Income tax relating to these items. The concept did not exist under the previous GAAP.

NOTE: 7

Disclosure as required by Ind AS 101 first time adoption of Indian Accounting Standards Transition to Ind AS

These are the Company’s first Standalone Financial Statements prepared in accordance with Ind AS.

The accounting standards notified u/s 133 of the Companies Act, 2013 and the Accounting policies set out in note 1.2 have been applied in preparing the financial statements for the year ended March 31, 2018, the comparative information presented in these financial statements for the year ended March 31, 2017 and in the preparation of an opening Ind AS balance sheet at April 1, 2016 (The Company’s date of transition). In preparing its opening Ind AS balance sheet, the Company has adjusted the amounts reported previously in financial statements prepared in accordance with the accounting standards notified under Companies (Accounting Standards) Rules, 2006 (as amended) and other relevant provisions of the Act (previous GAAP or Indian GAAP).

An explanation of how the transition from previous GAAP to Ind AS has affected the Company’s financial position, financial performance and cash flows is set out in the following tables and notes.

A. Exemptions and exceptions availed

Set out below are the applicable Ind AS 101 optional exemptions and mandatory exceptions applied by the Company in the transition from previous GAAP to Ind AS.

A.1 Ind AS optional exemptions

Ind AS 101 permits a first time adopter to elect to continue with the carrying value for all of its Property, Plant and Equipment (PPE) as recognized in the financial statements as at the date of transition to Ind AS, measured as per the previous GAAP and use that as its deemed cost as at the date of transition after making necessary adjustments for decommissioning liabilities(if any,). This exemption can also be used for intangible assets covered by Ind AS 38 Intangible Assets. Accordingly, the Company as elected to measure all of its PPE and Intangible assets at their previous GAAP carrying value.

B. Ind AS Mandatory Exceptions

B.1 Estimates

An entity’s estimates in accordance with Ind ASs at the date of transition to Ind AS shall be consistent with estimates made for the same date in accordance with previous GAAP (after adjustments to reflect any difference in accounting policies), unless there is objective evidence that those estimates were in error. Ind AS estimates at April 1, 2016 are consistent with the estimates as at the same date made in conformity with previous GAAP. The Company made estimates for following items accordance with Ind AS at the date of transition as these were not required under previous GAAP:

Investment in equity instruments carried at FVOCI; and

- Investment in mutual funds carried at Fair Value through Profit and Loss (FVPL).

B.2 Classification and measurement of financial assets

Ind AS 101 requires an entity to assess classification and measurement of financial assets on the basis of the facts and circumstances that exist at the date of Ind AS.

C. Reconcliations between previous GAAP and Ind AS

The following tables represent the reconciliations of Balance Sheet, Total Equity, Total Comprehensive Income, and Cash Flows from previous GAAP to Ind AS.

D. NOTES TO FIRST TIME ADOPTION OF IND AS

1. Fair valuation of investments

Under the previous GAAP, investments in equity instruments and mutual funds were classified as long-term investments or current investments based on the intended holding period and readability. Long-term investments were carried at cost less provision for other than temporary decline in the value of such investments. Current investments were carried at lower of cost and fair value. Under Ind AS, these investments are required to be measured at fair value. The resulting fair value changes of these investments (other than equity instruments as at FVOCI) have been recognized in retained earnings as at the date of transition and subsequently in the profit and loss for the year ended March 31, 2017. This decreased profit by Rs. 28,492 as at March 31, 2017 and there is no impact on other reserves as at April 1, 2016.

Fair value changes with respect to investments in equity instruments designated as at FVOCI have been recognized in FVOCI - Equity investments reserve as at the date of transition and subsequently in the other comprehensive income for the year ended March 31, 2017 This increased other reserves by Rs. 1,803 as at March 31, 2017 and there is decrease in other reserve by Rs. 6,762 as at April 1, 2016.

2. Retained Earnings

Retained earnings as at April 1, 2016 has been adjusted consequent to the above Ind AS adjustments.

3. Deferred tax

Deferred tax has been recognized on the adjustments made on transition to Ind AS.

4. Remeasurements of post-employment benefit obligations

Under Ind AS, remeasurements i.e, actuarial gains and losses and the return on plan assets, excluding amounts included in the net interest expense on the net defined benefit liability are recognized in other comprehensive income instead of profit and loss. Under the previous GAAP, these remeasurements were forming part of the profit and loss for the year. As a result of this change, the profit for the year ended March 31, 2017 decreased by Rs. 49,820. There is no impact on the total equity as at March 31, 2017.

5. Other Comprehensive Income

Under Ind AS, all items of income and expense recognized in a period should be included in Statement of Profit and Loss for the period, unless a standard requires or permits otherwise. Items of income and expenses that are not recognized in Statement of Profit and Loss but are shown in the Statement of Profit and Loss as “Other Comprehensive Income”, includes remeasurement of Employee Benefit obligation and fair valuation of Equity Instruments through OCI and Income tax relating to these items. The concept did not exist under the previous GAAP.

8. Contingent Liabilities not provided for NIL

9. Previous year’s figure have been regrouped/reclassified wherever necessary to confirm with the current year’s presentation.

10. Estimated amount of Contract remaining to be executed on Capital Accounts and not provided for, net of advance is - NIL ( Previous year - NIL)

11. The outstanding balances as at 31.03.2018 in respect of Trade receivables, Trade payables, Loans & Advances and other payables & receivables are subjected to confirmation from respective parties and consequential reconciliation and/ or adjustments arising there from, if any. The Management, however, does not expect any material variation.

12. According to the opinion of the management of the Company the value of realization of Trade & Other Receivables and Loans & Advances given in the ordinary course of business would not be less than the amount at which they are stated in the Balance sheet.

---

Mar 31, 2016

1. Disclosure Pursuant To Accounting Standard - 15 - Employee Benefits

2. Defined Contribution Plan

The Company has recognized ''2,99,741/- & ''3,00,197/- in the Statement of Profit & Loss for the year ended 31st March, 2016 & 31st March, 2015 respectively under Defined Contribution Plan.

3. Defined Benefit Plan

The following table summarizes the component of Net Benefit Expenses recognized in the Statement of Profit & Loss and amounts recognized in the Balance Sheet as per Actuarial Valuation Report.

The estimates of rate of escalation in future salary considered in Actuarial Valuation, take into account inflation, seniority, promotion and other relevant factors including supply & demand in the Employment Market. The above information is certified by The Actuary.

4. Segment Reporting

Based on guiding principles in the Accounting Standard 17 - "Segment Reporting", the primary business segment of the Company is machining of auto components. Further, the surplus money available with the company continues to be deployed under the professional guidance in Fixed Deposits and Shares and securities. The company has started construction business but it is not a reportable segment as per Accounting Standard 17 - "Segment Reporting" due to non fulfillment of the given criteria’s. Hence as the Company operates in a single primary reportable business segment, disclosure requirements of Accounting Standard 17 - "Segment Reporting", are not applicable.

5. The company has written off an amount of'' 41,50,219 being export receivable which has been outstanding since last several years and the management does not foresee receipt of the said amount. The Reserve Bank of India vide its circular RBI/2012-13/435 A.P. (DIR Series) Circular No. 88 permits write-off up to only 5% of export realization in the previous calendar year (i.e. to the extent of'' 48,00,894). Any Amount in excess of this limit will have to be referred to the region office of Reserve Bank of India before writing off such excess amount.

However, the company, having made adequate efforts has failed to realize the outstanding export receivables amounting to '' 41,50,219 and thus Company has written off total amount as bad debts without referring to the regional office of Reserve Bank of India as per the above circular.

6. Estimated amount of Contract remaining to be executed on Capital Accounts and not provided for, net of advance is - NIL ( Previous year - NIL)

7. The outstanding balances as at 31.03.2016 in respect of Trade receivables, Trade payables, Loans & Advances and other payables & receivables are subjected to confirmation from respective parties and consequential reconciliation and/ or adjustments arising there from, if any. The Management, however, does not expect any material variation.

8. According to the opinion of the management of the Company the value of realization of Trade & Other Receivables and Loans & Advances given in the ordinary course of business would not be less than the amount at which they are stated in the Balance sheet.

9. The amounts received from directors before 1st April, 2014 amounting to '' 21,000 have been disclosed in Note No. 7 of Notes forming part of Financial Statements under the head Short term borrowings From

---

Mar 31, 2015

1.CORPORATE INFORMATION

Sar Auto Products Limited is a company limited by shares with domicile in India. It is incorporated under the provisions of the Companies Act, 1956. The Company's main object is to manufacture gears, gear boxes and other transmission components.

Director's Information

Sr. No. Name Director Identification Number

1 Mr. Rameshkumar Durlabhjibhai Virani 00313236

2 Mr. Shreyas Rameshbhai Virani 00465240

3 Mr. Issacthomas Charianthomas Kavunkal 02995332

4 Mrs. Aarti Chintan Sodha 06978954

2. Related Party Disclosures

As per Accounting Standard 18, the disclosures of transactions with the related parties are given below:

3. List of related parties and relationships:

Related Party Nature of Relationship

Mr. Ramesh D. Virani

Mr. Shreyas R. Virani Key Management Personnel

Mrs. Rajashree R. Virani Relatives of Key Management Personnel

Mrs. Urmiben S. Virani

4. Segment Reporting

Based on guiding principles in the Accounting Standard 17 - "Segment Reporting", the primary business segment of the Company is machining of auto components. Further, the surplus money available with the company continues to be deployed under the professional guidance in Portfolio Management Scheme, Fixed Deposits and Shares and securities. Hence As the Company operates in a single primary business segment, disclosure requirements of Accounting Standard 17 - "Segment Reporting", are not applicable.

5. Contingent Liabilities not provided for Nil

6. Foreign Exchange:

As at As at Particulars 31.03.2015 31.03.2014

Earning In Foreign Exchange

FOB value of exports 11,056,436 17,731,777

Imports

CIF Value of Imports 589,463 554,208

Expenditure in Foreign Exchange

Professional Fees - 10,704

7. The company has written off an amount of Rs. 2,87,39,882 being export receivable which has been outstanding since last several years and the management does not foresee receipt of the said amount. The Reserve Bank of India vide its circular RBI/2012-13/435 A.P. (DIR Series) Circular No. 88 permits write-off up to only 5% of export realization in the previous calendar year (i.e. to the extent of Rs. 9,93,848).Any Amount in excess of this limit will have to be referred to the region office of Reserve Bank of India before writting off such excess amount.

However, the company, having made adequate efforts has failed to realize the outstanding export receivables amounting to Rs. 2,87,39,882 and thus Company has written off total amount as bad debts without refering to the regional office of Reserve Bank of India as per the above circular.

8. Estimated amount of Contract remaining to be executed on Capital Accounts and not provided for, net of advance is - NIL ( Previous year - NIL)

9. The company has requested the suppliers to give information about their status as Micro, Small and Medium Enterprises as defined under the MSMED Act, 2006. In the absence of this information, company is unable to provide the details in "Trade Payables" regarding the over dues to such Enterprises.

10. The outstanding balances as at 31.03.2015 in respect of Trade receivables, Trade payables, Loans & Advances and other payables & receivables are subjected to confirmation from respective parties and consequential reconciliation and/ or adjustments arising there from, if any. The Management, however, does not expect any material variation.

11. According to the opinion of the management of the Company the value of realization of Trade & Other Receivables and Loans & Advances given in the ordinary course of business would not be less than the amount at which they are stated in the Balance sheet.

12. Previous year's figure have been regrouped/reclassified wherever necessary to correspond with the current year's classification/disclosure.

---

Mar 31, 2013

1. Segment Reporting

Based on guiding principles in the Accounting Standard 17 - "Segment Reporting", the primary business segment of the Company is machining of auto components, Further, the surplus money available with the company continues to be deployed under the professional guidance in Portfolio Management Scheme, Fixed Deposits and Shares and securities. Hence As the Company operates in a single primary business segment, disclosure requirements of Accounting Standard 17 - "Segment Reporting", are not applicable.

2. Contingent Liabilities not provided for NIL

3. Estimated amount of Contract remaining to be executed on Capital Accounts and not provided for, net of advance is - NIL (Previous year - NIL)

4. The company has requested the suppliers to give information about their status as Micro, Small and Medium Enterprises as defined under the MSMED Act, 2006. In the absence of this information, company is unable to provide the details in "Trade Payables" regarding the over dues to such Enterprises.

5. The outstanding balances as at 31.03.2013 in respect of Trade receivables, Trade payables, Loans & Advances and other payables & receivables are subjected to confirmation from respective parties and consequential reconciliation and or adjustments arising there from, if any. The Management, however, does not expect any material variation.

6. According to the opinion of the management of the Company the value of realization of Trade & Other Receivables and Loans & Advances given in the ordinary course of business would not be less than the amount at which they are stated in the Balance sheet.

7. Previous year''s figure have been regrouped/reclassified wherever necessary to correspond with the current year''s classification/disclosure.

---

Mar 31, 2012

1. Segment Reporting:

The Company is engaged in the business of machining of Auto Components. Further, the surplus money available with the company continues to be deployed under the professional guidance in Portfolio Management Scheme, Fixed Deposits and Shares and securities and the same has not been shown as separate segment for the purpose of Segment Reporting under AS-17.

2. The outstanding balances as at 31.03.2012 in respect of Sundry Debtors, Sundry Creditors and Loans & Advances are subject to confirmation from respective parties and consequential reconciliation and or adjustments arising there from, if any. The Management, however, does not expect any material variation.

3. According to the opinion of the Management the realizable value of current assets, loans & advances and other receivables in the ordinary course of business would not be less than the amount at which they are stated in the Balance Sheet.

4. Contingent Liabilities NIL

5. Impairment of Assets:

At each balance sheet date, the management reviews the carrying amount of its assets included in each cash generating unit to determine whether there is any indication that those assets were impaired. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss. Recoverable amount is higher of an asset''s net selling price and the value in use. Value in use is the present value of estimated future cash flows expected to arise from the continuing use of an assets and from its disposal at the end of the useful life.

6. The company has requested the suppliers to give information about their status as Micro, Small and Medium Enterprises as defined under the MSMED Act, 2006. In the absence of this information, company is unable to provide the details regarding the over dues to such Enterprises.

7. The figures of the previous year are regrouped rearranged wherever necessary to bring it in line with current year.

---

Mar 31, 2011

1. Segment Repoting:

The Company is engaged in the business of machining of Auto Components. Further, the surplus money available with the company continues to be deployed under the professional guidance in Portfolio Management Scheme, Fixed Deposits and Shares and securities and the same has not been shown as separate segment for the purpose of Segment Reporting under AS-17.

2. The outstanding balances as at 31.03.2011 in respect of Sundry Debtors, Sundry Creditors and Loans & Advances are subject to confirmation from respective parties and consequential reconciliation and or adjustments arising there from, if any. The Management, however, does not expect any material variation.

3. According to the opinion of the Management the realizable value of current assets, loans & advances and other receivables in the ordinary course of business would not be less than the amount at which they are stated in the Balance Sheet.

4. Contingent Liabilities NIL

5. Impairment of Assets:

At each balance sheet date, the management reviews the carrying amount of its assets included in each cash generating unit to determine whether there is any indication that those assets were impaired. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss. Recoverable amount is higher of an asset''s net selling price and the value in use. Value in use is the present value of estimated future cash flows expected to arise from the continuing use of an assets and from its disposal at the end of the useful life.

6. The company has requested the suppliers to give information about their status as Micro, Small and Medium Enterprises as defined under the MSMED Act, 2006. In the absence of this information, company is unable to provide the details regarding the over dues to such Enterprises.

7. The figures of the previous year are regrouped rearranged wherever necessary to bring it in line with current year.

8. Schedules 01 to 19 form an integral part of the accounts and have been duly authenticated