Notes to Accounts of SJ Corporation Ltd.

Mar 31, 2025

Provisions and Contingent liabilities and contingent assets

Provisions represent liabilities for which the amount or timing is uncertain. Provisions are recognized when the
Company has a present obligation (legal or constructive), as a result of past events, and it is probable that an outflow
of resources, that can be reliably estimated, will be required to settle such an obligation.

If the effect of the time value of money is material, provisions are determined by discounting the expected future
cash flows to net present value using an appropriate pre-tax discount rate that reflects current market assessments
of the time value of money and,

where appropriate, the risks specific to the liability. Unwinding of the discount is recognized in profit or loss as a
finance cost. Provisions are reviewed at each reporting date and are adjusted to reflect the current best estimate.
A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by the
occurrence or non-occurrence of one or more uncertain future events beyond the control of the Company or a present
obligation that is not recognised because it is not probable that an outflow of resources will be required to settle
the obligation. A contingent liability also arises in extremely rare cases where there is a liability that cannot be
recognised because it cannot be measured reliably. The Company does not recognize a contingent liability but
discloses its existence in the financial statements.

Contingent assets are not recognised but disclosed in the financial statements when an inflow of economic benefits
is probable.

Earning Per Share

The basic earning per share (EPS) is computed by dividing the net profit after tax available to equity share holding
for the year by the weighted average number of equity shares outstanding during the current year.

The diluted EPS is calculated on the same basis as basic EPS, after adjusting for the effects of potential dilutive
equity shares unless impact is anti-dilutive.

22.5 In the opinion of the management and to the best of their knowledge, the current assets, loans & advances are
approximately of the value stated, if realised in the ordinary course of business, unless otherwise stated.

22.6 Segment Information

The Company has identified business segments in accordance with Indian Accounting Standard 108 “Operating
Segment” notified under section 133 of Companies Act 2013, read together with relevant rules issued thereunder.
Accordingly, the Company has identified two business segments i.e. Diamond studded jewellery and Polished
diamods & Real Estate and development of property.

(i) Revenue and Expenses have been identified to a segment on the basis of relationship to operating activities
of the segment. Revenue and Expenses which relate to enterprise as a whole and are not allocable to a
segment on reasonable basis have been disclosed as “Unallocable”

(ii) Segment Assets and Segment Liabilities represent Assets and Liabilities in respective segments. Investments,
tax related assets and other assets and liabilities that cannot be allocated to a segment on reasonable basis
have been disclosed as “Unallocable”.

The financial instruments are categorized into two levels based on the inputs used to arrive at fair value measurements
as described below:

Level 1: Quoted (unadjusted) prices in active markets for identical assets or liabilities; and

Level 2: Inputs other than the quoted prices included within Level 1 that are observable for the assets or liability, either
directly or indirectly.

Liquidity Risk

Liquidity risk is the risk that suitable sources of funding for the company''s business activities may not be available.
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, so that the company
is not forced to obtain funds at higher rates. The Company monitors rolling forecasts of the Company''s cash flow position
and ensure that the Company is able to meet its financial obligation at all times including contingencies.

Credit Risk

Credit risk is the risk that a customer or counterparty to a financial instrument will fail to perform or pay amounts due
causing financial loss to the company. It arises from cash and cash equivalents, financial instruments and principally
from credit exposures to customers relating to outstanding receivables. The Company deals with highly rated counter
parties.

25.9 The Previous year''s fighres have been re-grouped/ re-classified wherever required to confom to current year''s
classification.

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

2. The company has not revalued its Property, Plant and Equipment during the year.

3. The Company does not have any Capital Work-in-Progress as on the date of the Balance Sheet. The Company also
does not have any intangible asset under development.

4. The company has not made any loans or advances in the nature of loans to any promoters, directors, KMP, and
its related parties.

5. The Company is neither in possession of any benami property, nor any proceeding has been initiated or is pending
against the Company for holding any benami property.

6. The company has not been sanctioned limits against hypothecation of its current assets during the year.

7. The Company has not been declared as a wilful defaulter by any bank or financials institution or lender during the
year.

8. As per the information available with the Company, it does not have any transactions with companies which are
struck off under section 248 or Section 560 of the Companies Act, 2013.

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

10. The Company has complied with the number of layers prescribed under clause (87) of section 2 of the Act read
with the Companies (Restriction on number of Layers) Rules, 2017, wherever required.

11. 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.

12. 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.

13. The provisions of Section 135 "Corporate Social Responsibility" are not applicable on the Company.

14. The Company does not have 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.

15. The company does not have any borrowed funds or s h a re premium.

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

17. The Company has not recognised any prior period items in its audited annual accounts. In terms of its policy

generally followed over the years, the liability is recognised in the year of its crystalisation.

_SIGNATORIES TO NOTES ''1'' TO ''22''_

In terms of our report of even date. For & on behalf of Board of Directors

For SDBA & Co. DEEPAK UPADHYAY SAVJI D. PATEL

Chartered Accountants MANAGING DIRECTOR DIRECTOR

(FRN : 142004W) DIN : 02270389 DIN : 01671461

(SANJEEV A. MEHTA)

Partner DEEPA A. DHAMECHA ASHISH SATANI

M. No : 41287 COMPANY SECRETARY CFO

Mumbai Mumbai

May 30, 2025 May 30, 2025

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Mar 31, 2024

(d) Terms/rights attached to equity shares :

The company has only one class of equity shares having a par value of Re.1/- per share. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.

In the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders._

25.5 In the opinion of the management and to the best of their knowledge, the current assets, loans & advances are approximately of the value stated, if realised in the ordinary course of business, unless otherwise stated.

25.6 Segment Information

The Company has identified business segments in accordance with Indian Accounting Standard 108 “Operating Segment” notified under section 133 of Companies Act 2013, read together with relevant rules issued thereunder. Accordingly, the Company has identified two business segments i.e. Diamond studded jewellery and Polished diamods & Real Estate and development of property.

(i) Revenue and Expenses have been identified to a segment on the basis of relationship to operating activities of the segment. Revenue and Expenses which relate to enterprise as a whole and are not allocable to a segment on reasonable basis have been disclosed as “Unallocable”

(ii) Segment Assets and Segment Liabilities represent Assets and Liabilities in respective segments. Investments, tax related assets and other assets and liabilities that cannot be allocated to a segment on reasonable basis have been disclosed as “Unallocable”.

The financial instruments are categorized into two levels based on the inputs used to arrive at fair value measurements as described below:

Level 1: Quoted (unadjusted) prices in active markets for identical assets or liabilities; and

Level 2: Inputs other than the quoted prices included within Level 1 that are observable for the assets or liability, either directly or indirectly.

Liquidity Risk

Liquidity risk is the risk that suitable sources of funding for the company''s business activities may not be available. 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, so that the company is not forced to obtain funds at higher rates. The Company monitors rolling forecasts of the Company''s cash flow position and ensure that the Company is able to meet its financial obligation at all times including contingencies.

Credit Risk

Credit risk is the risk that a customer or counterparty to a financial instrument will fail to perform or pay amounts due causing financial loss to the company. It arises from cash and cash equivalents, financial instruments and principally from credit exposures to customers relating to outstanding receivables. The Company deals with highly rated counter parties.

25.9 The Previous year''s fighres have been re-grouped/ re-classified wherever required to confom to current year''s classification.

25.11 ADDITIONAL REGULATORY INFORMATION

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

2. The company has not revalued its Property, Plant and Equipment during the year.

3. The Company does not have any Capital Work-in-Progress as on the date of the Balance Sheet. The Company also does not have any intangible asset under development.

4. The company has not made any loans or advances in the nature of loans to any promoters, directors, KMP, and its related parties.

5. The Company is neither in possession of any benami property, nor any proceeding has been initiated or is pending against the Company for holding any benami property.

6. The company has not been sanctioned limits against hypothecation of its current assets during the year.

7. The Company has not been declared as a wilful defaulter by any bank or financials institution or lender during the year.

8. As per the information available with the Company, it does not have any transactions with companies which are struck off under section 248 or Section 560 of the Companies Act, 2013.

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

10. The Company has complied with the number of layers prescribed under clause (87) of section 2 of the Act read with the Companies (Restriction on number of Layers) Rules, 2017, wherever required.

11. 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.

12. 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.

13. The provisions of Section 135 “Corporate Social Responsibility” are not applicable on the Company.

14. The Company does not have 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.

15. The company does not have any borrowed funds or share premium.

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

17. The Company has not recognised any prior period items in its audited annual accounts. In terms of its policy generally followed over the years, the liability is recognised in the year of its crystalisation.

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Mar 31, 2015

1. The Board of Directors has recommended a Dividend of Rs.0.05 (5% of Paid-up Share Capital of the company) per equity share of face Value of Rs.1/- each for the year ended on 31st March, 2015. The dividend is subject to the approval of members of the company in perusing annual general meeting.

2. The company has only one reportable segment i.e. Studded Jewellery, therefore no separate information is being given under Accounting Standard - AS 17 "Segment Reporting.

3 . Leases:

The company has taken office premises on operating lease agreement. The lease agreement does not have an escalation clause and there are no subleases. This lease is cancellable and renewable by mutual consent on mutually agreed terms. There are no restrictions imposed by lease agreement. The aggregate lease rentals paid/payable are charges as "Rent" under Note 17 'Other Expenses'.

4. Figures have been rounded off to the nearest of a rupee.

5. Previous year's figures have been regrouped/reclassified to conform to current year's Classification.

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Mar 31, 2014

1. The Board of Directors has recommended a Dividend of Rs.0.10 (10% of Paid-up Share Capital of the company) per equity share of face Value of Rs.1/- each for the year ended on 31st March, 2014. The dividend is subject to the approval of members of the company in perusing annual general meeting.

2. The company has only one reportable segment i.e. Studded Jewellery, therefore no separate information is being given under Accounting Standard - AS 17 "Segment Reporting".

3. Leases:

The company has taken office premises on operating lease agreement. The lease agreement does not have an escalation clause and there are no subleases. This lease is cancellable and renewable by mutual consent on mutually agreed terms. There are no restrictions imposed by lease agreement. The aggregate lease rentals paid/payable are charges as "Rent" under Note 17 ''Other Expenses''.

4. Figures have been rounded off to the nearest of a rupee.

5. Previous year''s figures have been regrouped/reclassified to conform to current year''s Classification.

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Mar 31, 2013

1. There is no difference between taxable income and accounting income of the company on account of timing difference. Hence, deferred tax has not been provided for.

2. The Board of Directors has recommended a Dividend of Rs.0.10 (10% of Paid-up Share Capital of the company) per equity share of face Value of Rs.1/- each for the year ended on 31st March, 2013. The dividend is subject to the approval of members of the company in perusing annual general meeting.

3. The company has only one reportable segment i.e. Studded Jewellery, therefore no separate information is being given under Accounting Standard - AS 17 "Segment Reporting".

4 . Leases:

The company has taken office premises on operating lease agreement. The lease agreement does not have an escalation clause and there are no subleases. This lease is cancellable and renewable by mutual consent on mutually agreed terms. There are no restrictions imposed by lease agreement. The aggregate lease rentals paid/payable are charged as "Rent" under Note 17 ‘Other Expenses''.

5. Figures have been rounded off to the nearest of a rupee.

6. Previous year''s figures have been regrouped/reclassified to conform to current year''s Classification.

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Mar 31, 2012

(a) Issue of Bonus Shares :

During the previous year ending March 31, 2011, the company had issued 60,00,000 fully paid bonus shares of Re.1/- each to the equity shareholders by capitalisation of capital reserve (Rs.2500/-) and surplus of profit/ loss account (Rs.59,97,500/-)

(b) Terms/rights attached to equity shares :

The company has only one class of equity shares having a par value of Re.1/- per share. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.

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

Note'1':

There is no difference between taxable income and accounting income of the company on account of timing difference. Hence, deferred tax has not been provided for.

Note '2': '

There were no amounts due to small scale and/or ancillary industrial supplier on account of principal and/or interest at the close of the year.

Note '3':

The Board of Directors has recommended a Dividend of Rs.0.10 (10% of Paid-up Share Capital of the company) per equity share of face Value of Rs.1/- each for the year ended on 31st March, 2012. The dividend is subject to the approval of members of the company in perusing annual general meeting.

Note '4':

Figures have been rounded off to the nearest of a rupee.

Note '5':

Previous year's figures have been regrouped/reclassified to conform to current year's Classification.

Note '6':

During the year ended 31st March, 2012, the company has prepared the financial statements as per the format prescribed by the Revised Schedule VI to the Companies Act,1956 issued by Ministry of Corporate Affairs. The company has also reclassified the previous year figures in accordance with requirement for the current period. In terms of our report of even date For & on behalf of Board of Directors.

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Mar 31, 2011

1.There were no amounts due to small scale and/or ancillary industrial supplier on account of principal and/ or interest at the close of the year.

2.There is no difference between taxable income and accounting income of the company on account of timing difference. Hence, deferred tax has not been provided for.

3.Disclosures as required by Accounting Standard AS-18 "Related Parties Disclosure" issued by The Institute of Chartered Accountants of India are as follows :

1. Relationship

i. Key Management Personnel

Mr. Sanjay V. Patel

Mr. Deepak Upadhyay

Mr. Savji D. Patel

Mr. Rajesh Jesinglal Shah

Mr. Bhavik Prakash Patel

Persons having Significant Control

Mr. Savji D. Patel

Mrs. Usha S. Patel

4. Figures have been rounded off to the nearest of a rupee.

5. Previous year's figures have been regrouped/reclassified to conform to current year's Classification.

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Mar 31, 2010

1.There were no amounts due to small scale and/or ancillary industrial supplier on account of principal and/ or interest at the close of the year.

2.There is no difference between taxable income and accounting income of the company on account of timing difference. Hence, deferred tax has not been provided for.

3.Disclosures as required by Accounting Standard AS-18 "Related Parties Disclosure" issued by The Institute of Chartered Accountants of India are as follows :

List of related parties with whom transactions have taken place during the year :

Key Management Personnel

Mr. Sanjay V. Patel

Mr. Deepak Upadhyay

Persons having Significant Control

Mr. Savji D. Patel

Mrs. Usha S. Patel

Details of Transactions

NIL

Note : Related party relationship is as identified by the company and relied upon by the Auditors.