Notes to Accounts of Source Industries (India) Ltd.

Mar 31, 2024

1.11 Provisions and Contingent Liabilities

A Provision is recognized if, as a result of past event, the Company has a present legal or
constructive obligation that is reasonably estimable, and it is probable that an outflow of economic

benefits will be required to settle the present obligation. Provisions are determined by the best
estimate of the outflow of economic benefits required to settle the obligation at the reporting date.
Where no reliable estimate can be made, a disclosure is made as contingent liability. A disclosure
for a contingent liability is also made when there is a possible obligation or a present obligation
that may, but probably will not, require an outflow of resources. Where there is a possible obligation
or a present obligation in respect of which the likelihood of outflow of resources is remote, no
provision or disclosure is made.

1.12 Financial Instruments

A financial instrument is any contract that give rise to a financial asset of one entity and a financial
liability or equity of another entity.

Initial Recognition

Financial assets and liabilities are recognised when the Company becomes a party to the contractual
provisions of the instrument. Financial assets and liabilities are initially measured at fair value.
Transaction costs that are directly attributable to the acquisition or issue of financial assets and
financial liabilities (other than financial assets and financial liabilities at fair value through profit
and loss) are added to or deducted from the fair value measured on initial recognition of financial
asset or financial liability.

Subsequent Measurement

Financial assets at fair value through other comprehensive income

Financial assets are measured at fair value through other comprehensive income if these financial
assets are held within a business whose objective is achieved both by collection contractual cash
flows on specified dates to cash flows that are solely payments of principal and interest on the
amount outstanding and selling financial assets.

Financial assets at fair value through Profit and Loss

Financial assets are measured at fair value through profit and loss unless it is measured at amortised
cost or at fair value through other comprehensive income on initial recognition. The transaction
costs that are directly attributable to the acquisition of financial assets and liabilities at fair value
through profit and loss are immediately recognised in statement of profit and loss.

Financial liabilities

Financial liabilities are classified as measured at amortised cost or Fair Value Through Profit and
Loss Account (FVTPL). A financial liability is classified as at FVTPL if it is classified as held for-
trading, or it is a derivative or it is designated as such on initial recognition. Financial liabilities at
FVTPL are measured at fair value and net gains and losses, including any interest expense, are
recognised in statement of profit and loss. Other financial liabilities are subsequently measured at
amortised cost using the effective interest method. Interest expense and foreign exchange gains
and losses are recognised in statement of profit and loss. Any gain or loss on DE recognition is
also recognised in statement of profit and loss.

De-recognition

The Company derecognises a financial asset when the contractual rights to the cash flows from
the financial asset expire or it transfers the financial asset and the transfer qualifies for DE recognition
as per Ind AS 109. A financial liability (or a part of a financial liability) is derecognised from the

Company''s balance sheet when the obligation specified in the contract is discharged or cancelled
or expires.

Cash and cash equivalents

Cash and cash equivalent in the balance sheet comprise cash at banks and on hand and short¬
term deposits with an original maturity of three months or less, which are subject to an insignificant
risk of changes in value. For the purpose of the statement of cash flows, cash and cash equivalents
consist of cash and short-term deposits, as defined above are considered an integral part of the
Company''s cash management.

1.13 Cash flow statement

Cash flows are reported using the indirect method, whereby net profit before tax is adjusted for the
effects of transactions of a non-cash nature and any deferrals or accruals of past or future cash
receipts or payments. The cash flows from regular revenue generating, investing and financing
activities of the company are segregated.

---

Mar 31, 2015

1. Details of shareholders holding more than 5% shares in the company NIL

2. All equity shares issued by the company carry equal voting and participatory rights

Note As on As on No Particulars 31-03-2015 31-03-2014

3. CONTINGENT LIABILITIES Nil Nil

Nil Nil

4. RELATED PARTY DISCLOSURES:

a) Disclosures of Related parties and relationship between parties:

1. Key Management Personnel : Lalith Kumar Gupa Ritesh Kumar Gupta

2. Relatives : Lakshmi Bai Gupta Adarsh Kumar Gupta Madhulika Gupta Akshay Gupta Babita Gupta Niharika Gupta

3. Subsidiary Company : Aksharalaya Enterprises Ltd (Upto 31.03.2015)

5. Micro, Small and Medium Enterprises Development Act, 2006

i. Amount Due to Micro, Small and Medium Enterprises - NIL

ii. Interest - NIL the above information is given based on the information available with the Company.

6. The balances shown under Trade Payable, other current liablities, Trade receivables, Loans and Advances are subject to confirmation/reconciliation.

7. Previous year's figures have been regrouped/reclassified/rearranged/modified wherever consider necessary

8. The Company's operation mainly consist of only one segment i.e. Infrastrucutre and therefore the figures relate to that segment only.

9. During the year Company has sold the shares of Aksharayala Enterprises ( Subsidary Co).

10. Earning in foreign currency Rs. Nil (Previous year Rs. Nil.)

Expenditure in foreign currency(traveling, etc) Rs. NIL (Previous year Rs.165485)

---

Mar 31, 2014

1. All equity shares issued by the company carry equal voting and participatory rights

2 Directors Remuneration: 2013-14 2012-13

Salaries NIL NIL Directors Sitting fees NIL NIL

3 Micro, Small and Medium Enterprises Development Act, 2006

i. Amount Due to Micro, Small and Medium Enterprises - NIL

ii. Interest - NIL the above information is given based on the information available with the Company.

4 The balances shown under Loans and Advances are subject to confirmation/ reconciliation.

5 Previous year''s figures have been regrouped/reclassified/rearranged/modified wherever necessary according to the scheme of demerger

In view of the above, the Sharecapital is retrospectively modified in accordance with the Court Order.

6 The Company''s operation mainly consist of only one segment i.e. Infrastrucutre and therefore the figures relate to that segment only.

7 Earning in foreign currency Rs. Nil (Previous year Rs. Nil.)

Expenditure in foreign currency(traveling, etc) Rs. 200,000/- (Previous year Rs.Nil)

---

Mar 31, 2013

Note As on As on

No Particulars 31-03-2013 31-03-2012

1.1 CONTINGENT LIABILITIES Nil Nil

Nil Nil

1.2 RELATED PARTY DISCLOSURES:

a) Disclosures of Related parties and relationship between parties:

1. Key Management Personnel : NIL

2. Relatives : NIL

3. Subsidiary Company : Aksharalaya Enterprises Ltd

Transactions with key management personnel and their relatives during the year

1.3 Micro, Small and Medium Enterprises Development Act, 2006

i. Amount Due to Micro, Small and Medium Enterprises - NIL

ii. Interest - NIL the above information is given based on the information available with the Company.

1.4 The balances shown under Loans and Advances are subject to confrmation/ reconciliation.

1.5 Previous year‘s fgures have been regrouped/reclassifed/rearranged/modifed wherever necessary according to the scheme of demerger

In view of the above, the Sharecapital is retrospectively modifed in accordance with the Court Order.

1.6 The Company''s operation mainly consist of only one segment i.e. Infrastrucutre and therefore the fgures relate to that segment only.

1.7 Earning in foreign currency Rs. Nil (Previous year Rs. Nil.)

Expenditure in foreign currency(traveling, etc) Rs. 200,000/- (Previous year Rs.Nil)

---

Mar 31, 2012

1.1. The Company is in communication with its suppliers to ascertain the applicability of the MSMED Act, 2006. As on the date of this Balance- Sheet, the Company has not received any communications from any of its suppliers regarding the applicability of this Act to them. This has been relied upon by the Auditors

1.2 The balances shown under Loans and Advances and Bank balances are subject to confirmation / reconciliation.

1.3 In view of continuous incurring of losses and consequent inability to pay interest on unsecured loans, the company has requested unsecured loan creditors for waiver of interest payment due to them. Pending consideration of the request by the Unsecured Loan Creditors, the same is not provided in the books of accounts.

1.4 During the Financial year 2007-08, Joint Collector National Highways acquired Companies Land out of Sy No. 47/2 admeasuring Ac. 1.02 Gts. and out of Sy No. 96/2 admeasuring Ac. 0.20 Gts. along with Structures, Compound Wall Thatched roof, RCC foundation etc. and the Hon' able Court awarded Rs. 11,83,802/- Compensation for the Same. The Company filed the petition before Joint Collector and Competent Authority for Land Acquisition National Highways of India, Mahaboob Nager, Mahaboob Nager Dist. for enhancement of Land Compensation and structures which is yet to be disposed off.

1.5 The company expects substantial reduction in value of its assets than the carrying amount but in absence of technical reports from experts no provision is made on account of such impairment in value of assets.

1.6 Information pursuant to the provision of part II of Schedule VI of the Companies Act, 1956 relating to the processing Unit of the company situated at Nandigaon regarding Licensed capacity, installed capacity (per annum) and actual production of processed cloth.

The quantitative details as required under Schedule VI of the Companies Act, 1956 cannot be ascertained due to closure of the business activity since long and the unit of measurement not being common.

Earning in foreign currency Rs. Nil (Previous year Rs. Nil.)

Expenditure in foreign currency(traveling, etc) Rs. 80,000/- (Previous fyear Rs.Nil)

---

Mar 31, 2010

1. Segment Reporting (Accounting Standard - 17) : The companys operations consists mainly of Acrylic and Blinked Blankets, hence figures relate to that segment only and also, the company operates only in Domestic area.

2. The Balances shown under Debtors, Creditors, Secured, Unsecured loans and Loans and advances, Bank balances and other Liabilities are subject to confirmation / reconciliation

3. The Company is in communication with its suppliers to ascertain the applicability of the MSMED Act, 2006. As on the date of this Balance- Sheet, the Company has not received any communications from any of its suppliers regarding the applicability of this Act to them. This has been relied upon by the Auditors.

4. In view of continuous incurring of losses and consequent inability to pay interest on unsecured loans, the company has requested some of the unsecured loan creditors for waiver of interest payment / reduction in rate of interest due to them. Pending consideration of the request by the Unsecured Loan Creditors, the same is not provided in the books of accounts.

5. During the Financial year 2007-08, joint Collector National Highways acquired Companies Land out of Sy. No. 47/2 admeasuring Ac. 1.02 Gts. and out of Sy. No. 96/2 admeasuring Ac. 0.20 Gts. along with Structures, Compound Wall Thatchered roof, RCC foundation etc. and the Hon able Court awarded Rs. 11,83,802/- Compensation for the Same. The Company filed the petition before Joint Collector and Competent Authority for Land Acquisition National Highways of India, Mahaboob Nager, Mahaboob Nager Dist. for enhancement of Land Compensation and structures which is yet to be disposed off.

6. The company expects substantial reduction in value of its assets than the carrying amount but in absence of technical reports from experts no provision is made on account of such impairment in value of assets.

7. Previous year figures have been regrouped, arranged and recast wherever considered necessary.